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If a country starts rising interest rates more than the rest of the world, and as a consequence its currency appreciates, what is the likely

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If a country starts rising interest rates more than the rest of the world, and as a consequence its currency appreciates, what is the likely impact on the balance of payments accounts? A current account deficit will become smaller and a capital account surplus larger Both a current account deficit and capital account surplus will become smaller A current account deficit will become larger and a capital account surplus smaller Both a current account deficit and a capital account surplus will become larger

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