Multiple Choice the euro/U.S. dollar exchange rate to fluctuate in a narrow range set by the European Central Bank. the dollar to appreciate relative to the euro. no effect because there isn't a link between inflation and exchange rates over the long run. the dollar to depreciate relative to the euro. You and a friend are reading The Wall Street Journal and notice that the Treasury yield curve is slightly upward-sloping. Your friend comments that all looks well for the economy but you are concerned that the economy is heading for trouble. Assuming you are both believers in the liquidity premium theory, what might account for your difference of opinion? The difference in opinion