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Quiz

1 of 15

If currency speculators believe that the value of the U.S. dollar will soon be falling because of an anticipated rise in the U.S. inflation rate compared to the Japanese inflation rate, ______.

there will be increased demand for U.S. dollars

those who are holding U.S. dollars will convert them to yen

there will be decreased demand for yen

those who are holding yen will convert them to U.S. dollars

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