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If U.S. investments begin to offer a real rate of interest that is higher than the real rate that can be earned on German investments, we can expect:

If U.S. investments begin to offer a real rate of interest that is higher than the real rate that can be earned on German investments, we can expect:
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If U.S. investments begin to offer a real rate of interest that is higher than the real rate that can be earned on German investments, we can expect:

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User Ali Padida
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1 Answer

4 votes

Answer:

An increase in price of dollar in terms of German marks. If U.S. investments yield a real rate of interest higher than the real rate, then people are more likely to invest their and subsequently take funds out of their investments in marks.

Step-by-step explanation:

answered
User Budthapa
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