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jene277 jene277
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If the interest rate in India increases, how will it affect the net exports of India?
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Macroeconomics

Macroeconomics


Edition: 3rd
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twogat123twogat123
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If the interest rate in India increases, investors will be willing to invest in the country. This will cause the demand for Indian rupees to increase, which in turn will cause the rupee to appreciate. An appreciation of the rupee will increase imports to India and decrease exports from India.
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