Assume that the US economy expands and that the US Federal Reserve Bank, worried by rising inflation, decides to raise interest rates. Which of the following would not occur?      A) The US dollar will appreciate. B) Interest rates in other countries will fall. C) The current account of the US's trading partners will improve. D) There will be a fall in US exports.

Give typing answer with explanation and conclusion

The current exchange rate is $1.00 = 1.50 Swiss franc.  The exchange rate is expected to be $1.00 = 1.25 Swiss franc in six months.  The U.S. dollar is expected to   A. depreciate and the U.S. will import more from Switzerland   B. appreciate and the U.S. will export more to Switzerland   C. appreciate and the U.S. will import more from Switzerland   D. depreciate and the U.S. will export more to Switzerland

A. Canada produces natural resources (coal, natural gas, and others), the demand for which has increased rapidly as China and other emerging economies expand. i. Explain how growth in the demand for Canada's natural resources would affect the demand for Canadian dollars in the foreign exchange market. Explain how the supply of Canadian dollars would change. ii. iii. Explain how the value of the Canadian dollar would change. iv. Illustrate your answer with a graphical analysis. 1