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In the early 1980s both us interest rates and the value of


Question: In the early 1980s, both US interest rates and the value of the dollar rose sharply, reducing the current account balance. In the late 1980s, US interest rates rose again, but the value of the dollar did not increase, and the current account balance did not decline. What factors caused these varying reactions?

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Microeconomics: In the early 1980s both us interest rates and the value of
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