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Chako Chako
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8 years ago
Which one of the following statements is the MOST accurate?
A) Fiscal policy affects employment less under fixed than under flexible exchange rate regimes.
B) Fiscal policy has the same effect on employment under fixed and flexible exchange rate regimes.
C) Fiscal policy cannot affect employment under fixed exchange rate but does affect output under flexible exchange rate regimes.
D) Fiscal policy can affect employment under fixed exchange rate regimes, but does not affect output under flexible exchange rate regimes.
E) Fiscal policy affects employment more under fixed than under flexible exchange rate regimes.
Textbook 
International Economics: Theory and Policy

International Economics: Theory and Policy


Edition: 10th
Author:
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machukianmachukian
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#1
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8 years ago
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Chako Author
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#2
8 years ago
Correct!
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#3
8 years ago
Happy to help you!
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