Multiple Choice
If the U.S.has a trade deficit and the nominal exchange rate depreciates,then other things the same
A) the trade deficit rises and net capital outflow rises.
B) the trade deficit rises and net capital outflow falls.
C) the trade deficit falls and net capital outflows rise.
D) the trade deficit falls and net capital outflows fall.
Correct Answer:

Verified
Correct Answer:
Verified
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