Relative to the yen, from 2012-2014 the U.S. dollar A) ...

[asan beg]

Relative to the yen, from 2012-2014 the U.S. dollar
 
  A) depreciated due to an anticipated decrease in the interest rate differential and expectations of a lower future exchange rate.
  B) appreciated due to an anticipated decrease in the interest rate differential and expectations of a lower future exchange rate.
  C) depreciated due to an anticipated increase in the interest rate differential and expectations of a higher future exchange rate.
  D) appreciated due to an anticipated increase in the interest rate differential and expectations of a higher future exchange rate.

Question 2

In 2010, the United States and foreign economies start to recover from the recession. U.S. firms increase their profit expectations. As a result, the demand for loanable funds curve shifts ________ and the real interest rate ________.
 
  A) leftward; decreases
  B) rightward; decreases
  C) leftward; increases
  D) rightward; increases

[abctaiwan]

Answer to Question 1

D

Answer to Question 2

D

[asan beg]

TYSM

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