The J Curve Shows That

Multiple Choice

The J curve shows that:

A) devaluation is more likely to improve the trade balance in the short-run than in the long-run.
B) devaluation is more likely to improve the trade balance after a longer span of time has elapsed.
C) devaluation is likely to be unstable.
D) devaluation is unlikely to improve the trade balance in either the short-run or the long-run.