Multiple Choice
In a two-good,two-period model with trade,an increase in current domestic total factor productivity
A) increases domestic output and increases the current account surplus.
B) increases domestic output and decreases the current account surplus.
C) decreases domestic output and increases the current account surplus.
D) decreases domestic output and decreases the current account surplus.
E) decreases domestic output and decreases the marginal product of capital.
Correct Answer:

Verified
Correct Answer:
Verified
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