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Suppose a small country Neverland exports only silver and gold. These two industries employ 40% of the population of Neverland. Export is equal to 50%
Suppose a small country Neverland exports only silver and gold. These two industries employ 40% of the population of Neverland. Export is equal to 50% of Neyerland's GDP; 60% of all the export revenue Neverland obtains from silyer export. Other things being equal, if the price of silver on the world market goes up by 20%, by how much Neverland's welfare will change? [Type your answer in percent (to the first decimal point] and use sign for the direction of change, i.e. if your answer is "goes up by 20.56%" type 213.6, if your answer is \"goes down by 20.34%\" type -20.3.]
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