Assume that the U.S. inflation rate becomes high relative to Canadian inflation. Other things being...
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Assume that the U.S. inflation rate becomes high relative to Canadian inflation. Other things being equal, the U.S. demand for Canadian dollars should ____ while the supply of Canadian dollars for sale should _______ and the equilibrium value of the Canadian dollar should ______.
a. increase; decrease, increase
b. increase; increase, decrease
c. decrease, decrease; increase
d. decrease, increase, increase
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