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If the Exchange Rate Rises,which of the Following Falls in the Open-Economy

Question 15

Multiple Choice

If the exchange rate rises,which of the following falls in the open-economy macroeconomic model?


A) desired net exports and desired net capital outflow
B) desired net exports but not desired net capital outflow
C) desired net capital outflow but not desired net exports
D) neither desired net exports nor desired net capital outflow

Correct Answer:

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