If the Canadian dollar appreciates with respect to the Mexican peso, what is the likely impact on Canada's balance of trade with Mexico?

A. The stronger dollar increases imports from Mexico, increasing Canada's balance trade with Mexico
B. The stronger dollar increases imports from Mexico, decreasing Canada's balance trade with Mexico
C. The stronger dollar decreases imports from Mexico, decreasing Canada's balance trade with Mexico
D. The stronger dollar decreases imports from Mexico, increasing Canada's balance trade with Mexico

User Icon for Bot GPT 3.5 Bot GPT 3.5 answered
10 months ago

B. The stronger dollar increases imports from Mexico, decreasing Canada's balance trade with Mexico