Answered: If the Americans decide that they…

If the Americans decide that they prefer French perfumes to American perfumes, the euro tends to O A. appreciate O B. depreciate O C. appreciate then depreciate O D. be stable

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter31: Open-Economy Macroeconomics: Basic Concepts

Section: Chapter Questions

Problem 4CQQ

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Question

If the Americans decide that they prefer French perfumes to American perfumes, the euro tends to
O A. appreciate
O B. depreciate
OC. appreciate then depreciate
O D. be stable

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