If the Philippines experiences high inflation relative to Japan, the Philippines’ exports to Japan should ____, its imports should ____, and there is ____ pressure on the pesos’ equilibrium value.        A. decrease; increase; upward   B. decrease; increase; downward   C. decrease; decrease; upward   D. increase; decrease; upward   E. increase; decrease; downward

Economics: Private and Public Choice (MindTap Course List)
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ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
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Chapter19: International Finance And The Foreign Exchange Market
Section: Chapter Questions
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If the Philippines experiences high inflation relative to Japan, the Philippines’ exports to Japan should ____, its imports should ____, and there is ____ pressure on the pesos’ equilibrium value. 
 
 
 
A. decrease; increase; upward
 
B. decrease; increase; downward
 
C. decrease; decrease; upward
 
D. increase; decrease; upward
 
E. increase; decrease; downward
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