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- Consider the exchange rate
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Card 140 / 145: Consider the exchange rate between the U.S. dollar and the Japanese yen. If the yen appreciates,
A)
the dollar must appreciate also.
B)
the dollar must depreciate.
C)
the value of the dollar will remain constant.
D)
the value of the dollar can increase, decrease, or remain unchanged.
Answer:
B) the dollar must depreciate.
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