2. if investors can earn ten percent interest in an account in mexico but just three percent in the us, those investors will
a.) continue to invest in the united states and have no effect on the exchange rate.
b.) want to invest in mexico and cause the exchange rate to rise.
c.) try to do anything possible to keep the exchange rate from changing.
d.) want to invest in mexico and cause the exchange rate to fall.

I believe the answer is: D.) want to invest in Mexico and cause the exchange rate to fall.

Higher interest rate would give the investor with more profit if they place their capital on the country's financial institution. When more investors come in, the country's economy tend to be more developed that the other, which make the value of their currency to increase and cause the exchange rate to fall.

answer; comparing the additional benefits and costs;

answer assertive;