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    Principles of Economics Study Set 1
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    Exam 28: Exchange Rates and the Open Economy
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    Net Exports Will Tend to Be Low When the Real
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Net Exports Will Tend to Be Low When the Real

Question 134

Question 134

Multiple Choice

Net exports will tend to be low when the real exchange rate:


A) is high.
B) is low.
C) equals the nominal exchange rate.
D) depreciates.

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