In the MundellFleming model with float-ing exchange rates, explain what happens to aggregate income, the exchange rate,

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In the Mundell–Fleming model with float-ing exchange rates, explain what happens to aggregate income, the exchange rate, and the trade balance when a quota on imported cars is removed. What would happen if exchange rates were fixed rather than floating?
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Macroeconomics

ISBN: 978-1464168505

5th Canadian Edition

Authors: N. Gregory Mankiw, William M. Scarth

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