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United StatesEconomicsQuick questions

Unit 6: Open Economy - International Trade and Finance

Quick questions on Shifters of the forex market - AP Macroeconomics Topic 6.4

2short Q&A pairs drawn directly from our worked dot-point answer. For full context and worked exam questions, read the parent dot-point page.

What is q1?
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A country's interest rates rise relative to the rest of the world. Does its currency appreciate or depreciate? [1 point]
What is q2?
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How does higher domestic income affect the exchange rate? [2 points]

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