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snowicefox17 snowicefox17
wrote...
Posts: 524
3 years ago
If countries achieve similar rates of economic growth, for which of the following reasons may the equilibrium rate of exchange change over the longer term?
(i) The marginal propensity to import differs from one country to another.
(ii) The relative income elasticities of demand for imports and exports differ from one country to another.
(iii) The rate of growth of productivity differs from one country to another.

▸ (i) and (iii)

▸ (ii) alone

▸ (i) and (ii)

▸ (i), (ii) and (iii)
Textbook 
Essential Economics for Business

Essential Economics for Business


Edition: 5th
Authors:
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antheadanthead
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Posts: 408
3 years ago
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Just got PERFECT on my quiz
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