When aggregate prices rise, U.S. goods become more expensive relative to goods from other countries, which leads to an increase in exports.
Correct Answer:
Verified
Q151: Policymakers can increase output by enacting policies
Q152: The determinants of aggregate demand include the
Q153: A decrease in foreign income will cause
Q154: Assume that Macroland starts in long-run equilibrium
Q155: What would cause the price level to
Q157: In Productovia, aggregate demand increases and aggregate
Q158: High taxes and/or heavy regulation
A) can cause
Q159: In the Keynesian model, the price level
Q160: The long-run aggregate supply curve represents the
Q161: The proportion of additional income that consumers
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents