Macro-economiscs college level .

Business

1 answer:

Thepotemich [5.8K]3 years ago

3 0

Answer/Explanation:

A. Increase in import WOULD NOT lead to a decrease in national income because it would lead to increase in revenue derived from import duties.

B. A decrease in interest (leakage) WOULD lead to decrease in national income because it will increase borrowing and reduces investment.

C. A decrease in money supply (money available in an economy) WOULD NOT lead to decrease in national income because it reduces inflational rate.

D. An increase in exchange rate WOULD lead to decrease in national income because it would encourage capital flight.

E. A decrease in foreign income WOULD lead to decrease in national income because it reduces revenue earnings.

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