Author Question: Although it declined in the first quarter of 2009, the United States was still running a trade ... (Read 77 times)

jayhills49 · **on:** Jun 29, 2018

Although it declined in the first quarter of 2009, the United States was still running a trade deficit, which means that the United States would have to

A) increase the money supply. B) decrease the value of its financial account.
C) devalue the dollar. D) sell some of its assets to foreigners.

Question 2

When people expect that the future exchange rate will be lower, they ________ the supply of dollars and the current exchange rate ________.

A) decrease; rises
B) decrease; falls
C) increase; falls
D) increase; rises
E) do not change; rises