Since the mid 1990s, Canadian governments have tried to eliminate budget deficits. Which of the following was expected to happen?
A) This would decrease national savings, appreciate the real exchange rate, and decrease net exports.
B) This would increase national savings, depreciate the real exchange rate, and increase net exports.
C) This would increase national savings, depreciate the real exchange rate, and increase net exports
D) This would decrease national savings, depreciate the real exchange rate, and decrease net exports.
Correct Answer:
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