Figure 19-1
-Refer to Figure 19-1.Which of the following would cause the change depicted in the figure above?

Question

Figure 19-1 
-Refer to Figure 19-1.Which of the following would cause the change depicted in the figure above?

Quizplus · Accepted Answer

The change in the figure (an increase in imports from the EU and a decrease in imports from the US) can be caused by a relative increase in the price level of goods produced in the EU. This makes EU goods relatively more expensive compared to US goods, leading to a decrease in US imports from the EU and an increase in EU imports to the US.

Figure 19-1 -Refer to Figure 19-1.Which of the Following Would Cause the Would