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Positive Weather Shock in a Large Economy. Suppose that, due to exceptionally good weather in the Mid West, the United States experiences an increase in

Positive Weather Shock in a Large Economy. Suppose that, due to exceptionally good weather in the Mid West, the United States experiences an increase in grain production in period 1. Use a graphical approach to analyze the effect of this shock

on the current account, saving, investment, and the world interest rate in the United States and in a small open economy such as El Salvador. Explain.

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