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Suppose a Country's Net Exports Equal $1

Question 98

Multiple Choice

Suppose a country's net exports equal $1.9 billion.Which of the following will happen if the volume of imports increases by $2 billion without any change in the volume of exports?


A) The country's net exports will equal $3.9 billion.
B) The country's net exports will equal $0.1 billion.
C) The country's net exports will become negative.
D) The country's net exports will equal zero.

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