If Canadian interest rates fall below the world interest rate, the Canadian dollar will likely ______, causing net exports to ______, which shifts the aggregate demand curve ______.a) appreciate; fall; leftb) appreciate; rise; rightc) depreciate; fall; leftd) depreciate; rise; right

If Canadian interest rates fall below the world interest rate, the Canadian dollar will likely , causing net exports to , which shifts the aggregate demand curve __.a) appreciate; fall; leftb) appreciate; rise; rightc) depreciate; fall; leftd) depreciate; rise; right

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter8: Aggregate Demand And Aggregate Supply

Section: Chapter Questions

Problem 14QP

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Question

If Canadian interest rates fall below the world interest rate, the Canadian dollar will likely ______, causing net exports to ______, which shifts the aggregate demand curve ______.
a) appreciate; fall; left
b) appreciate; rise; right
c) depreciate; fall; left
d) depreciate; rise; right

Defintion Defintion Curve that represents the graphical relationship between the total supply of goods and services and the price level in the economy. When the price level increases, producers tend to supply more of a product in the market to earn a higher revenue or vice versa.

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