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12. Provide brief responses to the following A. Explain how the money markets of two countries are linked through the foreign exchange market B. Using

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12. Provide brief responses to the following A. Explain how the money markets of two countries are linked through the foreign exchange market B. Using your outline in a. above Analyze the effects of an increase in the European money supply on the dollar/euro exchange rate. C. Finally, use that same model to explain the Explain the exchange rate over- shooting hypothesis

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