An increase in Mexico's demand for United States goods would cause the value of the dollar to

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Maia Rosales

23 July, 23:27

An increase in Mexico's demand for United States goods would cause the value of the dollar to

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Lailah · Answer 1

An increase in Mexico's demand for United States goods would cause the value of the dollar to appreciate because Mexico would be purchasing more United States dollars. An increase in the demand for a currency increase the value of that currency (appreciation). In this case, Mexico would be buying more US dollars in order to increase their purchases of US goods.