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3. Using the intertemporal theory of net exports (with the diagram and numbers), explain how an exogenous increase in the future production of 24 affects

3. Using the intertemporal theory of net exports (with the diagram and numbers), explain how an exogenous increase in the future production of 24 affects consumer spending and net exports in the current period (let the foreign real interest rate and the marginal rate of time preference both equal 0). Also, comment on what happens in the future period. Adopt the standard assumptions.

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