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Chako Chako
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8 years ago
Under the flexible exchange rate, lowering the price of a foreign currency will
A) decrease the foreign country's output.
B) prevent a foreign price increase from causing deflation at home.
C) cause a "beggar-thy-neighbor" effect.
D) allow the expansion of monetary policy without causing inflation.
E) cause a home price increase to be exported to the foreign markets.
Textbook 
International Economics: Theory and Policy

International Economics: Theory and Policy


Edition: 10th
Author:
Read 141 times
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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
Makes a lot of sense, and you're right.. I appreciate the input
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#3
7 years ago
Happy to help you!
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