Solved

From 2001 to 2004 the U

Question 42

Multiple Choice

From 2001 to 2004 the U.S.budget went from surplus to deficit.According to the open economy macroeconomic model,this change should have


A) increased U.S.interest rates and increased the real exchange rate of the dollar.
B) increased U.S.interest rates and decreased the real exchange rate of the dollar.
C) decreased U.S.interest rates and increased the real exchange rate of the dollar.
D) decreased U.S.interest rates and decreased the real exchange rate of the dollar.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents