Previous Page ge 1. Question 46 (10 points) In April 2021 the Liberal government presented Budget 2021 to Parliament, which e 2: included economic recovery measures to jumpstart the Canadian economy as it + emerged from the pandemic. Assume these measures further increased the budget deficit and that Canada is a small open economy with a flexible exchange rate and 3: perfect capital mobility. With the aid of diagrams, explain how increases in the government budget deficit affect Canada's net capital outflows, exchange rate and net exports. Paragraph v BIUAEEV + V