e U.S. dollar weakened during the 1970s for the following reasons EXCEP a.) U.S. inflation accelerated b.) the U.S. economy weakened c.) foreigners didn't want to hold as many dollars as before d.) foreigners did want to hold many more dollars than before Ans exchange 7.) When monetary authorities have not insulated their domestic money supplies from the foreign transactions, it is known asinterventi a.) unsterilized b.) sterilized c.) foreign market d.) subsidized Ans: 8.) When th e U.S. Federal Reserve sells or purchases Treasury securities in order to sterilize the impact of operation . their foreign exchange market interventions, it is referred to as an a.) floating currency b.) spot rate c.) revaluation d.) open market Ans: 9.) An increase in the real exchange rate will a.) raise national income b.) lower national income c.) make a country less competitive in international trade d.) lower the cost of foreign goods e.) cand d Ans