Suppose we drop the assumption that net exports do not depend on real GDP. Draw a graph

Question:

Suppose we drop the assumption that net exports do not depend on real GDP. Draw a graph with the value of net exports on the vertical axis and the value of real GDP on the horizontal axis. Now, add a line representing the relationship between net exports and real GDP. Does your net exports line have a positive or negative slope? Briefly explain.
Fantastic news! We've located the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question

Economics

ISBN: 978-0134106243

6th edition

Authors: R. Glenn Hubbard

Question Posted: