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Suppose the following graph shows what prevailed on the

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Suppose the following graph shows what prevailed on the foreign exchange market in 2010 with floating exchange rates. a.

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Suppose the following graph shows what prevailed on the foreign exchange market in 2010 with floating exchange rates. a. Name three phenomena that might shift the demand curve to the right. b. Which, if any, of these three phenomena might cause a simultaneous shift of the supply curve to the left? c. What effects might each of the three phenomena have on the balance of trade if the exchange rate floats?

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