With everything else the same, in the foreign exchange market ...

[Jramos095]

With everything else the same, in the foreign exchange market which of the following increases the supply of U.S. dollars?
 
  I. a fall in the U.S. interest rate
  II. a fall in interest rates in foreign countries
  III. a rise in expected future exchange rate
  A) I only
  B) I and II only
  C) I and III only
  D) I, II, and III

Question 2

In the absence of a Ricardo-Barro effect, a government budget deficit ________ the demand for loanable funds, ________ the real interest rate, and ________ investment.
 
  A) increases; increases; crowds out
  B) increases; decreases; increases
  C) decreases; increases; increases
  D) decreases; increases; crowds out

[raili21]

Answer to Question 1

A

Answer to Question 2

A

[Jramos095]

TYSM

[aruss1303]

Gracias!