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Interest rates in Australia have been lowered numerous times recently. What effect is this likely to have on Australias exchange rate, ceteris paribus ? Select

Interest rates in Australia have been lowered numerous times recently. What effect is this likely to have on Australias exchange rate, ceteris paribus?

Select one:

a. The Australian dollar will appreciate.

b. The Australian dollar will depreciate.

c. There will be a decrease in the supply of Australian dollars on the international market.

d. There will be an increase in the demand for Australian dollars on the international market.

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