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Canadian dollar is the foreign currency and German euro is the home currency. The exchange rate is denoted E. Suppose there is initialy an excess
Canadian dollar is the foreign currency and German euro is the home currency. The exchange rate is denoted E. Suppose there is initialy an excess supply of money in Canada. Which of the following would be true of what happers ne O A. The euro interest rate would fall and at same time E would increase O B. The dollar interest rate would fall and at same time E would decrease OC. The euro interest rate would fall and at same time E would decrease O D. The other responses are incorrect. O E. The dollar interest rate would fall and at same time E would increase
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