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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
  5. Question
    Fiscal Policy Is More Effective When the Exchange Rate Is
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Fiscal Policy Is More Effective When the Exchange Rate Is

Question 121

Question 121

True/False

Fiscal policy is more effective when the exchange rate is flexible and the economy is open.

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