=+b. Suppose that a reduction in the budget deficit made international investors more confident in the U.S.

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=+b. Suppose that a reduction in the budget deficit made international investors more confident in the U.S. economy. How would this increase in confidence affect the value of the dollar?

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Brief Principles Of Macroeconomics

ISBN: 9780324590371

5th Edition

Authors: N. Gregory Mankiw

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Question Posted: Sep 27, 2024 09:00 AM

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=+b. Suppose that a reduction in the budget deficit made international investors more confident in the U.S. economy. How would this increase in confidence affect the value of the dollar?
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=+a. According to the model in this chapter, would a reduction in the budget deficit reduce the trade deficit? Would it raise the value of the dollar? Explain.
=+How would it affect the trade deficit?
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=+b. Suppose that a reduction in the budget deficit made international investors more confident in the U.S.

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Brief Principles Of Macroeconomics

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