Assume the United States government significantly increases deficit spending relative to other countries. Which of the following would happen to the U.S. dollar in the foreign exchange markets because of the change in the interest rate, ceteris paribus?

The U.S. dollar will appreciate. The U.S. dollar will depreciate. There will be a decrease in demand for the U.S. dollar on foreign exchange markets. There will be a decrease in the supply of U.S. dollars on foreign exchange markets. The U.S. dollar will be devalued.