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United states experiences a recession

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Reference no: EM132195531

Determine the effect the following situations will have on the exchange rate for the U.S. dollar by stating (Appreciate or Depreciate):

(a) The United States experiences a recession, reducing imports, while their trading partners experience an increase in output and incomes.

(b) The Federal Reserve lowers interest rates in the United States, while interest rates in other countries remain constant.

(c) The demand for U.S. goods declines in other countries.

Reference no: EM132195531

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