Nation have deficit or surplus in its balance of payments

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Does this nation have a deficit or surplus in its balance of payments? What is the size of deficit or surplus?

How would your answer to the previous part change if the monetary authorities increase the size of money supply to $500 billion? By how much will the monetary base change?

Referring to parts (a) and (b), how is the deficit corrected? Explain.

Reference no: EM131617309

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