Use the data in Table 27.2 to answer this question. If Japan was experiencing a current account
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Use the data in Table 27.2 to answer this question. If Japan was experiencing a current account deficit and brought about a fall in the value of the yen, what would you expect to happen to the deficit:
1. In the short-run? Why?
2. In the long-run? Why?
Data from Table 27.2
Transcribed Image Text:
Current account surplus Current 0 account deficit Figure 27.2 The J-curve Z Time
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