a. As the value of the U.S. dollar rises, what is likely to happen to the U.S.
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b. What is likely to happen to the value of the dollar as the U.S. current-account deficit increases? Explain.
c. A current-account surplus is not always a sign of health; a current-account deficit is not always a sign of weakness. Comment.
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a As the dollar rises in value other things being equal US goods and services become relatively more expensive in foreign currency terms while foreign ...View the full answer
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