[Solved] Suppose Mexico and the United States were the only two countries in the world. There exists anexcess supply of pesos on the foreign exchange market. This suggests that:

Q.	Suppose Mexico and the United States were the only two countries in the world. There exists anexcess supply of pesos on the foreign exchange market. This suggests that:
A.	Mexico’s current account is in surplus
B.	Mexico’s current account is in deficit
C.	The U.S. current account is in deficit
D.	The U.S. current account is in equilibrium
Answer» B. Mexico’s current account is in deficit

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