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Economics (AS & A Level) · Oct / Nov 2021 · Paper 13 · Question 25

9708Exchange rates

A country has a floating exchange rate. An increase in which variable within that country can cause its exchange rate to appreciate?

  1. Aemployment levels
  2. Bincome levels
  3. Cinterest rates
  4. Dprice levels

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Correct answer: C. interest rates

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