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Q. Explain how an increase in government spending would affect the DD-AA schedule in the short run.
Answer: A raise in government spending will raise aggregate demand, which will shift the DD to the right. If AA leftovers unchanged the new equilibrium will be at a higher Y and lower E. Ever since E is the nominal exchange rate a lower E is an appreciation of the currency.
tion..What is the range of gross barter terms of trade ?
In the Ricardian analysis, why does each trading partner have an incentive to produce at an endpoint of its production-possibility frontier? Why are prices of factors of production
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Q. Explain why the dollar of the United States became the postwar world's key currency. Answer: 1. The untimely convertibility of the U.S dollar in 1945. 2.
Road,railway,air and shlping transportation
1. Write about masculinity vs. feminity of culture. 2. Write a note on ‘Organic effect' that affect the decision making process. 3. What is ‘Ad Valoram' rate of duty? 4. What is ‘D
Q. It is claimed that L. Frank Baum's classic 1900 children's book, the Wonderful Wizard of Oz, is an allegorical rendition of the U.S. political struggle over gold. Discuss. A
#question.explain me Hecksher OHLIN theory of international trade in simple english
Q. Discuss the main factors affecting the position of the DD schedule. Answer: The level of government taxes, demand, and investment and the domestic and foreign price
Q. What can one learn from the following figure? Answer: The figure shows the U.S. current account as well as net foreign wealth from 1977 until 1996. It illustrate that a
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