Question

​A(n) ________ in U.S. interest rates will cause a decrease in the demand for U.S. dollars and​ a(n) ________ in the​ (per dollar) exchange rate.

Answer 1

decrease decrease

Step-by-step explanation:

if there is a decrease in U.S. interest rates, the return that investors would derive from investments in the US would be lower, as a result investors including foreign investors would demand less of the US dollars - there would be a decrease in demand for US dollars. this would lower the exchange rate per dollar.