A contractionary monetary policy raises the real interest rate, causing the domestic currency to ________, thereby ________ net exports

Which of the following is a positive statement?

A. Because many adults cannot afford to go to college, tax credits for tuition should be introduced. B. When a country imports more than it exports, its balance of trade is negative. C. The price of drugs in the United States is too high. D. It only makes sense to offer financial aid for students who cannot pay some of their tuition. E.The President of the United States ought to be elected by a direct vote of the American people rather than the Electoral College

Derive the interest parity condition and interpret it

What will be an ideal response?