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Ao9 Ao9
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8 years ago
In the monetary small open-economy model with a flexible exchange rate, an increase in the domestic money supply increases
A) the nominal exchange rate, but has no effect on domestic output or the domestic price level.
B) the domestic price level and the nominal exchange rate, but has no effect on domestic output.
C) domestic output, but has no effect on the domestic price level or the nominal exchange rate.
D) the domestic price level, but has no effect on domestic output or the nominal exchange rate.
Textbook 
Macroeconomics

Macroeconomics


Edition: 5th
Author:
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GordisGordis
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8 years ago
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Ao9 Author
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#2
8 years ago
Expert Upwards Arrow Smiling Face with Open Mouth
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#3
8 years ago
I'm assuming I was right? Wink Face Don't forget to mark as solved.
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