1.

If U.S. inflation suddenly increased while European inflation stayed the same, there wouldbe:

A. an increased U.S. demand for Euros and an increased supply of Euros for sale.
B. a decreased U.S. demand for Euros and an increased supply of Euros for sale.
C. a decreased U.S. demand for Euros and a decreased supply of Euros for sale.
D. an increased U.S. demand for Euros and a decreased supply of Euros for sale.
Answer» E.


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