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Assume a country has a trade surplus of $90 billion and a $30 billion government budget deficit.What mustbe its private household surplus or deficit? If
Assume a country has a trade surplus of $90 billion and a $30 billion government budget deficit.What mustbe its private household surplus or deficit? If there is $220 billion in capital flowing out of the country, how much capital must be flowing in? All other things equal, what effect(positive, negative or none) will this have on the foreign exchange value of the country's currency?Briefly explain why.
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