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a. Discuss the implications of international capital mobility within a Solow Model. (10 points) b. Discuss the risks associated with the liberalisation of capital flows

a. Discuss the implications of international capital mobility within a Solow Model. (10 points)

b. Discuss the risks associated with the liberalisation of capital flows (5 points).

Under what conditions real wages can increase after the opening of the capital account? (5 points)

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