Question: 17. Which of the following would cause a decrease in the demand for euros by those holding U.S. dollars? a. Infl ation in France, but
17. Which of the following would cause a decrease in the demand for euros by those holding U.S.
dollars?
a. Infl ation in France, but not in the United States
b. Infl ation in the United States, but not in France
c. An increase in the real rate of interest on investments in France above the real rate of interest on investments in the United States
d. None of the above
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