Please need help. Explain the right answer.

The foreign exchange market for the U.S. dollar in Canada is initially in equilibrium as shown by point Eo- Now, suppose that Canada goes through a persistent deationary period while prices remain stable in the United States. 1) Use the three-point curve drawing tool twice to draw and label the effect of this event in the market for the U.S. dollar. 2) Use the paint drawing fool to plot and label the new equilibrium point. Carefully foiiow the instructions above, and only draw the required objects. This example shows that if the ination rate in Canada is lower than the ination rate in its trading partners, then the Canadian dollar will undergo V over time. a depreciation an appreciation Exchange Rate (Canadian dollar/US dollar) Market tor U.S. dollars Units of Foreign Currency (us Dollars)