Economics Mcqs
Q For the United States suppose the annual interest rate on government securities equals 12 percent while the annual inflation rate equals 8 percent For Japan the annual interest rate on government securities equals 10 percent while the annual inflation rate equals 5 percent the above variables would cause investment funds to flow from ?
  • A A. The united states to japan causing the dollar to depreciate
  • B B. The united states to japan causing the dollar to appreciate
  • C C. The japan to united states, causing the dollar to depreciate
  • D D. The japan to united states, causing the dollar to appreciate
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