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AP® Macroeconomics

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Effect of a Strong Dollar

APMACR-FULFRW

Which of the following is a likely effect of a strong US dollar?

A

International travel becomes more affordable for Americans.

B

US exports to other countries increase.

C

The United States experiences a trade surplus.

D

Foreigners spend more time vacationing in the United States.

E

Foreigners invest more in US financial assets.