Author Question: If interest rates in Europe fall below interest rates in the United States, then, other things ... (Read 66 times)

gbarreiro · **on:** Jun 30, 2018

If interest rates in Europe fall below interest rates in the United States, then, other things equal, the demand for euros will decrease.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Which of the following would increase the demand for U.S. dollars in the foreign exchange market?
a. the spending of U.S. tourists in France
b. the purchase of Japanese automobiles by American consumers
c. the sale of U.S. automobiles to French consumers
d. provision of bilateral trade agreements