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Which of the following strategies was employed by the United States to regain its lost market share for capital goods by the late 1990s? A. Funding the communist nationsB. Restructuring its industries to be more lean and meanC. Decreasing its exports and increasing its importsD. Raising average U.S. tariffs on more than 20,000 imported goods by 60%E. Provoking increased protectionism from other countries

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Between 1998 and the end of 2000, the U.S. ran a large trade deficit; this should have caused the dollar to depreciate against foreign currencies but instead the dollar appreciated. The main reason for this is:

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