Using the Aggregate Supply and Aggregate Demand model, assuming other factors are the same, an increase in the price level in the United States will ____________________________________ and this will result in a _______________________________ from the U.S. perspective.

A. increase imports and decrease exports; trade deficit

B. increase imports and decrease exports; trade surplus

C. decrease imports and increase exports; trade deficit

D. decrease imports and increase exports; trade surplus

Answer rating: 100% (QA)

D decrease imports and increase exports trade surplus Explana... View the full answer