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Suppose Canadian budget deficits (which require the borrowing of funds) raise interest rates and attract investment funds from abroad. What will be the impact on
Suppose Canadian budget deficits (which require the borrowing of funds) raise interest rates and attract investment funds from abroad. What will be the impact on the foreign exchange value of the dollar and Canadian net exports? Question 12 options: The foreign exchange value of the dollar will depreciate, and Canadian net exports will increase. The foreign exchange value of the dollar will appreciate, and Canadian net exports will decrease. The foreign exchange value of the dollar will appreciate, and Canadian net exports (X - M) will increase. The foreign exchange value of the dollar will depreciate, and Canadian net exports will decrease
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