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The exchange rate of a currency is determined by the interaction between the supply of and demand for that currency. Which of the following is

The exchange rate of a currency is determined by the interaction between the supply of and demand for that currency. Which of the following is NOT Category I factor which will change the position of the balance of trade between countries?

A. Production efficiency.

B. Change in taste for import goods.

C. Import quota.

D. Political stability.

E. None of the options.

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