Respuesta :
Answer:
Explanation:
a. The United States unilaterally reduces tariffs on Mexican products.
Peso appreciate
b. Mexico encounters severe inflation
Peso depreciate
c. Deteriorating political relations reduce American tourism in Mexico.
Peso depreciate
d. The U.S. economy moves into a severe recession.
Peso appreciate
e. The United States engages in a high-interest-rate monetary policy.
Peso depreciate
f. Mexican products become more fashionable to U.S. consumers.
Peso depreciate
g. The Mexican government encourages U.S. firms to invest in Mexican oil fields.
Peso appreciate
h. The rate of productivity growth in the United States diminishes sharply.
Peso appreciate
Answer:
Explanation:
The United States unilaterally reduces tariffs on Mexican products.
The peso will appreciate.
Mexico encounters severe inflation
The peso will depreciate.
Deteriorating political relations reduce American tourism in Mexico.
The peso will depreciate.
The U.S. economy moves into a severe recession
The peso will depreciate.
The United States engages in a high-interest-rate monetary policy.
The peso will depreciate.
Mexican products become more fashionable to U.S. consumers.
The peso will appreciate.
The Mexican government encourages U.S. firms to invest in Mexican oil fields
The peso will appreciate.
The rate of productivity growth in the United States diminishes sharply
The peso will appreciate