Question

economics help pls
There is an increase in real interest rates in the United States, but not in the European Union. Using a correctly drawn and labeled foreign exchange graph, show and explain how this increase in interest rates will affect each of the following:

- The quantity of dollars supplied in the foreign exchange market
- The international value of the dollar

As far as quantity of dollars supplied i think it will increase and the international value of the dollar will decrease. Not sure if this is correct at all. For the graph not sure where to start.

Answer 1

e