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International Economics 10th Edition by Paul Krugman,Maurice Obstfeld ,Marc Melitz
Edition 10ISBN: 978-0133423648International Economics 10th Edition by Paul Krugman,Maurice Obstfeld ,Marc Melitz
Edition 10ISBN: 978-0133423648 Exercise 9
How would you draw the DD-AA diagram when the current account's response to exchange rate changes follows a J-curve? Use this modified diagram to examine the effects of temporary and permanent changes in monetary and fiscal policy.
Explanation
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The existence of a significant J -curve ...
International Economics 10th Edition by Paul Krugman,Maurice Obstfeld ,Marc Melitz
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