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Initially,there is a trade deficitin a small open economy with perfect capital mobility.Suppose the world interest decreases.Which of the following statement is correct? Investment goes

Initially,there is a trade deficitin a small open economy with perfect capital mobility.Suppose the world interest decreases.Which of the following statement is correct?

Investment goes down& national savings go up.

Investment goes up& national savings go down.

Investment goes up& national savings go up.

Investment goes down & national savings go down.

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