Higher tariffs and quotas cause a country's currency to
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appreciate, long
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the price levels of the two countries. 100) Higher tariffs and quotas cause a country's currency to _____ in the _____ run. 105) If a factor decreases the demand for _____ goods relative to _____ goods, the domestic currency will depreciate. A) always the interest rate on dollar deposits, iD, for any exchange rate.
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