1. US-China real exchange rate change at the time of new coronavirus: At the end of April 2020, the consumer price levels in the US and China were virtually the same as they had been at the end of December 2019. During that same period the nominal value of the dollar in terms of Chinese yuan went up by 2.4 percent. This means that between the end of December 2019 and the end of April, the real exchange rate of the dollar against Chinese yuan

a)has remained unchanged.

b)has appreciated by 0.6 percent.

c)has appreciated by 2.4 percent.

d)has depreciated by 2.4 percent.

2. Consider the situation depicted in Question 1 (above), and assume that other things the around the world can be treated as given (i.e., unaffected by the change in the dollar-yuan exchange rate). This means that compared to the Chinese products, the goods produced in the US

a)are becoming more competitive in China, but not in the US markets.

b)are becoming more competitive in the US markets, but not in China.

c)are becoming less competitive in all markets around the world.

d)are becoming more competitive in all markets around the world.

e)are becoming less competitive in both China and the US, but not in the rest of the world.

f)are becoming more competitive in both China and the US, but not in the rest of the world.