menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Economics Study Set 6
  4. Exam
    Exam 29: Macroeconomics in an Open Economy
  5. Question
    An Increase in U
Solved

An Increase in U

Question 153

Question 153

Multiple Choice

An increase in U.S.federal government budget deficits that raises U.S.interest rates relative to the rest of the world should


A) raise the trade balance.
B) increase net exports.
C) cause the dollar to depreciate.
D) lead to a current account deficit.
E) decrease foreign portfolio investment.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q45: An appreciating yen makes Japanese products<br>A)more expensive

Q76: Japan has a fairly high saving rate

Q166: Figure 29-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7397/.jpg" alt="Figure 29-1

Q170: How would a decrease in the U.S.budget

Q204: If foreign holdings of U.S.dollars decrease,holding all

Q210: An expansionary monetary policy in the United

Q226: Figure 29-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7397/.jpg" alt="Figure 29-1

Q236: Assuming no change in the nominal exchange

Q255: According to the saving and investment equation,if

Q271: When exchange rates are not determined in

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines