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    Macroeconomics Principles and Policy Study Set 2
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    Exam 36: Exchange Rates and the Macroeconomy
  5. Question
    Figure 36-6 In Figure 36-6, an Expansive Fiscal Policy in a Closed
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Figure 36-6 In Figure 36-6, an Expansive Fiscal Policy in a Closed

Question 41

Question 41

Multiple Choice

Figure 36-6
Figure 36-6   In Figure 36-6, an expansive fiscal policy in a closed economy results in an equilibrium at point E. In an open economy, allowing for the effects of the induced change in the currency value, the final equilibrium would be point A)  B. B)  F. C)  J. D)  H.
In Figure 36-6, an expansive fiscal policy in a closed economy results in an equilibrium at point E. In an open economy, allowing for the effects of the induced change in the currency value, the final equilibrium would be point


A) B.
B) F.
C) J.
D) H.

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