Foreign Demand and the Loanable Funds Market - Unit 4: Financial Sector - AP Macroeconomics

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Foreign Demand and the Loanable Funds Market

How does an increase in foreign demand for domestic currency affect the demand for loanable funds?

A

Has no effect on the demand for loanable funds

B

Reduces the supply of loanable funds

C

Decreases the demand for loanable funds

D

Increases the demand for loanable funds

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