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book Macroeconomics 14th Edition by William Baumol,Alan Blinder,John Solow cover

Macroeconomics 14th Edition by William Baumol,Alan Blinder,John Solow

Edition 14ISBN: 978-1337794985
book Macroeconomics 14th Edition by William Baumol,Alan Blinder,John Solow cover

Macroeconomics 14th Edition by William Baumol,Alan Blinder,John Solow

Edition 14ISBN: 978-1337794985
Exercise 14
*Several members of Congress have been highly critical of Japan and China because U.S. imports from these countries have persistently been substantially greater than our exports to them.
a. Under a flexible exchange rate system, is there any reason to expect that the imports from a given country will tend to equal the exports to that country?
b. Can you think of any reason why the United States might persistently run a trade deficit with these countries?
Explanation
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a. The exchange rate is the price of for...

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Macroeconomics 14th Edition by William Baumol,Alan Blinder,John Solow
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