What happens to the trade balance of a deficit nation if it allows its currency to depreciate

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What happens to the trade balance of a deficit nation if it allows its currency to depreciate or devalue from a position of full employment? How can real domestic absorption be reduced?

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International Economics

ISBN: 978-1118955765

12th edition

Authors: Dominick Salvatore

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Question Posted: Oct 27, 2017 09:35 AM

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What happens to the trade balance of a deficit nation if it allows its currency to depreciate

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If there is a deficit in the nations balance of payments and it is operating at full employment ...View the full answer

International Economics

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