Multiple Choice
In the open-economy macroeconomic model,if there is a surplus in the market for foreign-currency exchange,which of the following will move the market to equilibrium?
A) the real exchange rate depreciates and net exports fall.
B) the real exchange rate depreciates and net exports rise.
C) the real exchange rate appreciates and net exports fall.
D) the real exchange rate appreciates and net exports rise.
Correct Answer:
Verified
Correct Answer:
Verified
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