In the two-period SOE model, a decrease in current income
A) reduces the current account surplus.
B) leaves C + G unchanged.
C) increases C + G.
D) increases the current account surplus.
E) results in no change in the current account surplus.
Correct Answer:
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Q12: Suppose goods produced domestically and abroad are
Q13: In a two-period SOE model, holding everything
Q14: GATT is
A)the Government Agreement on Trade with
Q15: In the two-period model with default
A)default occurs
Q16: In the two-period SOE model with production
Q18: In the two-period model with default, default
Q19: Suppose that the small open economy (SOE)cannot
Q20: In the two-period model with default
A)there is
Q21: In a two-period model, as long as
Q22: For Canada
A)trade with the rest of the
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