________ in the currency drain ratio and ________ in the desired reserve ratio ________ the money multiplier

Using the above figure, an increase in the demand for Dutch goods by U. S. consumers will lead to

A) a depreciation in the Dutch currency. B) an appreciation in the Dutch currency. C) an increase in the supply of Dutch currency as foreign exchange. D) a decrease in the supply of Dutch currency as foreign exchange.

Using the money demand and money supply model, an increase in money demand would cause the equilibrium interest rate to

A) increase. B) decrease. C) not change. D) increase, then decrease.