In the Keynesian model,in short-run equilibrium,the trade balance must be
A) positive.
B) equal to zero.
C) negative.
D) could be positive, negative, or equal to zero.

Question

Quizplus · Accepted Answer

In the Keynesian model, the trade balance in short-run equilibrium can vary depending on factors like domestic and foreign demand, exchange rates, and fiscal policies, so it could be positive, negative, or zero.

In the Keynesian Model,in Short-Run Equilibrium,the Trade Balance Must Be