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Roar Roar
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6 years ago
For this question, assume that the Marshall-Lerner condition does NOT hold. A reduction in the real exchange rate will tend to cause which of the following to occur?
A) a reduction in NX and a reduction in foreign output (Y*)
B) a reduction in NX and an increase in domestic output (Y)
C) an increase in NX and a reduction in Y
D) an increase in NX and an increase in Y
E) none of the above
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Macroeconomics

Macroeconomics


Edition: 6th
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legendvpnlegendvpn
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6 years ago
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Roar Author
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#2
5 years ago
Tough macro class, thanks for helping
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