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Large Open Economy Large Open Economy: Political instability in Mexico in 1994.Discuss and explain what happens with words (abbreviations and arrows are fine) and with

Large Open Economy Large Open Economy: Political instability in Mexico in 1994.Discuss and explain what happens with words (abbreviations and arrows are fine) and with graphs (market for loanable funds and market for foreign currency)

Case 1: what happens to NFI, r, NX and real exchange rate in the US.

Case 2: what happens to NFI, r, NX and real exchange rate in Mexico

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