Author Question: In the foreign exchange market, what factor leads to a movement along the demand curve for dollars? ... (Read 77 times)

Pineappleeh

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In the foreign exchange market, what factor leads to a movement along the demand curve for dollars?
 
  What will be an ideal response?

Question 2

The quantity theory of money predicts that in the ________, a 10 percent increase in the quantity of money leads to a 10 percent increase in ________.
 
  A) long run; real GDP
  B) short run; velocity
  C) long run; velocity
  D) long run; price level



Liamb2179

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Answer to Question 1

A change in the exchange rate leads to a movement along the demand curve for dollars.

Answer to Question 2

D



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