Which of the following will restore an economy to full employment if it is operating below full employment because of a decrease in net exports? A)A reduction in the investment in the economy B)An increase in the interest rate C)A reduction in the demand for goods and services in the economy D)A decrease in the real exchange rate

Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter34: International Finance
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Which of the following will restore an economy to full employment if it is
operating below full employment because of a decrease in net exports?
A)A reduction in the investment in the economy
B)An increase in the interest rate
C)A reduction in the demand for goods and services in the economy
D)A decrease in the real exchange rate
Transcribed Image Text:Which of the following will restore an economy to full employment if it is operating below full employment because of a decrease in net exports? A)A reduction in the investment in the economy B)An increase in the interest rate C)A reduction in the demand for goods and services in the economy D)A decrease in the real exchange rate
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