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Major role in adjusting trade imbalances

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Reference no: EM132917004

For exchange rates to play a major role in adjusting trade imbalances:,Group of answer choices

A. The elasticity of demand for imports should be relatively high, but that of exports should be relatively low.

B. The elasticity of demand for imports should be relatively low, but that of exports should be relatively high.

C. The elasticity of demand for imports and exports should be relatively high.

Reference no: EM132917004

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