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1.If a country has been able to engineer a successful economic reform that strengthens foreigners' confidence in its future economic growth potentials. Using the open

1.If a country has been able to engineer a successful economic reform that strengthens foreigners' confidence in its future economic growth potentials. Using the open economy model to explain the impacts of the net capital outflow on the exchange rate market and the net export of the country. Use a graph to illustrate your answer. (15 marks)

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