How do

an increase inan$$increase$$in

the exchange ratethe$$exchange$$rate

and

an increase in expectedan$$increase$$in$$expected

profitsprofits

change aggregate$$ demand?

Part $2$

Aggregate demand$\_\_\_\_\_\_\_$ when

an increase inan$$increase$$in

the exchange ratethe$$exchange$$rate

occurs.

Aggregate demand$\_\_\_\_\_\_\_$ when

an increase in expectedan$$increase$$in$$expected

profitsprofits

occurs.

A$.$

$$increases; decreases

B$.$

$$increases; increases

C$.$

$$decreases; decreases

D$.$

$$decreases; increases