Consider the case of gold standard economy

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Reference no: EM13887754

Consider the case of a gold standard economy,

a. What effect would you expect an increase in the price of gold to have on the level of domestic real GDP, and why?

b. What effect would you expect the change in real GDP to have on net exports?

c. What is the net effect of the increase in the price of gold and the change in real GDP on net exports, and why?

Reference no: EM13887754

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