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(Solved): Assume there is international trade between Malaysia and Japan. Suddenly, the Malaysia inflation rat ...



Assume there is international trade between Malaysia and Japan. Suddenly, the Malaysia inflation rate becomes high relative to Japan inflation. Other things, being equal, how should this effect the: i. Malaysia demand for Japanese Yen (2 marks) ii. Supply of Japanese Yen for sale (2 marks) iii. Equilibrium value of the Japanese Yen? (1marks)



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