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    Principles of Macroeconomics Study Set 12
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    Exam 19: Open-Economy Macroeconomics: the Balance of Payments and Exchange Rates
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    The Trade Feedback Effect Refers to the Tendency for an Increase
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The Trade Feedback Effect Refers to the Tendency for an Increase

Question 27

Question 27

True/False

The trade feedback effect refers to the tendency for an increase in the economic activity in one country to lead to a worldwide in economic activity, which then feeds back to the first country.

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