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Suppose the real exchange rate between France and the United States is defined in terms of bottles of French wine per bottle of U.S. wine.

Suppose the real exchange rate between France and the United States is defined in terms of bottles of French wine per bottle of U.S. wine. Which of the following will increase the real exchange rate (that is, increase the number of bottles of French wine per bottle of U.S. wine)? a. A decrease in the Euro price of French wine b. An increase in the dollar price of U.S. wine c. An increase in the number of Euros for which the dollar can be exchanged d. All of the answer choices will increase the real exchange rate. e. None of the answer choices will increase the real exchange rate

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