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Question
The exchange rate last month was $1 = 3.12 Swiss francs. This month it is $1 = 3.21 Swiss francs. We can say that the value of the dollar
A) fell; causing net exports to increase and aggregate demand to rise.
B) fell; causing net exports to decrease and aggregate demand to fall.
C) increased; causing net exports to decrease and aggregate demand to fall.
D) increased; causing net exports to decrease and aggregate demand to rise.
Answer
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