Author Question: During this year, a country reports imports of 1,000 billion, exports of 1,100 billion, foreign ... (Read 92 times)

shenderson6 · **on:** Jun 29, 2018

During this year, a country reports imports of 1,000 billion, exports of 1,100 billion, foreign investment in the country of 900 billion, investment abroad of 1,200 billion, net interest and net transfers of zero.

What is the country's current account balance?

Question 2

How does a fall in the money wage rate affect the aggregate supply curve?

What will be an ideal response?

wtf444 · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

The current account balance is 100 billion.

Answer to Question 2

A fall in the money wage rate lowers firms' costs and shifts the aggregate supply curve rightward.