A rise in the U.S.price level brings a ________ in the price of U.S.exports relative to imports that ________ exports of U.S.goods,bringing ________ in the quantity of U.S.real GDP demanded.
A)rise;decreases;a decrease
B)fall;decreases;a decrease
C)fall;increases;an increase
D)rise;increases;an increase
E)rise;increases;a decrease

Question

Quizplus · Accepted Answer

A rise in the U.S. price level makes U.S. goods more expensive relative to foreign goods, decreasing exports and leading to a decrease in the quantity of U.S. real GDP demanded.

A Rise in the U