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If the World Supply Curve Is SW1, and the Country's

Question 95

Multiple Choice

If the world supply curve is SW1, and the country's exchange rate depreciates, If the world supply curve is S<sub>W1</sub>, and the country's exchange rate depreciates,   A)  the trade surplus will move toward balance. B)  the trade surplus will become greater. C)  the trade deficit will move toward balance. D)  the trade deficit will become greater.


A) the trade surplus will move toward balance.
B) the trade surplus will become greater.
C) the trade deficit will move toward balance.
D) the trade deficit will become greater.

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