Multiple Choice
In the two-period model with production,an increase in anticipated future total factor productivity
A) has no effect on domestic output, but reduces the current account surplus.
B) increases domestic output and increases the current account surplus.
C) reduces domestic output, and increases the current account surplus.
D) has no effect on domestic output, but increases the current account surplus.
Correct Answer:

Verified
Correct Answer:
Verified
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