Expenditure-switching policies designed to improve a current ...

[michelleunicorn]

Expenditure-switching policies designed to improve a current account deficit
 
  A) turn domestic spending towards domestic goods.
  B) reduce the overall level of demand in the economy.
  C) turn domestic spending towards foreign goods.
  D) increase the overall level of demand in the economy.

Question 2

Based on Table 4.1, according to the Stolper-Samuelson Theorem, the income distribution effects of free trade in the United States are likely to favor
 
  A) capital.
  B) labor.
  C) either capital or labor, depending on U.S. productivity.
  D) neither capital nor labor.

[medine]

Answer to Question 1

A

Answer to Question 2

B

[michelleunicorn]

Thanks for the timely response, appreciate it

[Liddy]

Gracias!