8. Predict whether the following factors would cause the exchange rate of the Canadian dollar to strengthen or to weaken. Sketch a supply and demand diagram of the exchange rate market for the Canadian dollar to illustrate your answer. a. Interest rates go up in the United States b. Financial investors expect the Canadian dollar to depreciate in the next few months c. Canadian inflation falls relative to other countries d. Interest rates fall in Canada e. The Canadian dollar is below the PPP exchange rate