Movements away from equilibrium in the Solow model: A) persist ...

[fahad]

Movements away from equilibrium in the Solow model:
 
  A) persist and cannot be corrected.
  B) are corrected only through government intervention.
  C) are automatically corrected.
  D) are corrected only when the country opens up to international trade.

Question 2

Refer to the table above. If exports increase by 4,000 in the next year, ________, all other variables remaining unchanged.
 
  A) trade surplus will increase by 2,000 B) trade deficit will increase by 2,000
  C) gross domestic product will increase by 4,000 D) gross domestic product will decrease by 4,000

[bimper21]

Answer to Question 1

C

Answer to Question 2

C

[fahad]

Excellent

[helenmarkerine]

Gracias!