Question

If the U.S. dollar becomes weaker in international markets, the net effects will include

A) a decrease in short-run aggregate supply (SRAS) and an increase in aggregate demand.

B) an increase in short-run aggregate supply (SRAS) and a decrease in aggregate demand.

C) a decrease in both short run aggregate supply (SRAS) and aggregate demand.

D) an increase in both short run aggregate supply (SRAS) and aggregate demand.

Answer

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