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If a countrys freely floating currency is undervalued in terms of purchasing power parity, its current account is likely to be: A. in deficit or

If a countrys freely floating currency is undervalued in terms of purchasing power parity, its current account is likely to be:

A.

in deficit or tending toward a deficit

B.

a candidate for loans from the World Bank

C.

subsidised by the International Monetary Fund

D.

in surplus or tending toward a surplus

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