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Author Question: Which of the following will occur in a small country with a high marginal propensity to import? ... (Read 23 times)

penguins

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on: Jun 30, 2018
Which of the following will occur in a small country with a high marginal propensity to import?
 
  A) Changes in government spending will cause large changes in output.
  B) Changes in government spending will cause large changes in the trade balance.
  C) A depreciation will cause only small changes in the trade balance.
  D) There is no combination of policies that can eliminate the trade deficit.
  E) all of the above

Question 2

During the Great Depression, the actual unemployment rate in the U.S. ________, and the natural rate apparently ________.
 
  A) increased; decreased
  B) increased; remain unchanged
  C) increased; increased as well
  D) decreased; increased
  E) decreased; remained unchanged


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Hikerman221

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Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

C


penguins

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Reply #2 on: Jun 30, 2018
Thank you


Hikerman221

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Reply #3 on: Jun 30, 2018
No problemo


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