A large open economy has desired national saving of Sd = 1200 + 1000rw,and desired national investment of Id = 1000 - 500rw.The foreign economy has desired national saving of = 1300 + 1000rw,and desired national investment of
= 1800 - 500rw.The equilibrium world real interest rate equals
A) 0) 05.
B) 0) 10.
C) 0) 15.
D) 0) 20.
Correct Answer:
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