15. Use the small open economy model to illustrate the effect of the following events on...
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15. Use the small open economy model to illustrate the effect of the following events on the trade balance: (a) Governments around the world engage in expansionary fiscal policy in order to stim- ulate economic activity in their countries after the financial crisis. r1 I(r) I,S (b) If corporate downsizing and lack of job security during the financial crisis cause con- sumers to spend less and save more. r₁ I(r) 15. Use the small open economy model to illustrate the effect of the following events on the trade balance: (a) Governments around the world engage in expansionary fiscal policy in order to stim- ulate economic activity in their countries after the financial crisis. r1 I(r) I,S (b) If corporate downsizing and lack of job security during the financial crisis cause con- sumers to spend less and save more. r₁ I(r)
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Related Book For
Macroeconomics
ISBN: 978-1464168505
5th Canadian Edition
Authors: N. Gregory Mankiw, William M. Scarth
Posted Date:
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