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    International Economics Study Set 2
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    Exam 22: How Does the Open Macroeconomy Work
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    A Devaluation of the Exchange Rate Will
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A Devaluation of the Exchange Rate Will

Question 27

Question 27

Multiple Choice

A devaluation of the exchange rate will:


A) shift the IS curve to the right.
B) shift the LM curve to the right.
C) shift the FE curve to the left.
D) lead to a financial account surplus.

Correct Answer:

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