Suppose there is a reduction in foreign output (Y). This reduction in Y will cause which of the following in the domestic coun

Question

2 years ago

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Suppose there is a reduction in foreign output (Y). This reduction in Y will cause which of the following in the domestic coun

try? A) a reduction in output B) a reduction in consumption C) a reduction in net exports D) all of the above E) none of the above

Social Studies

1 answer:

Aleonysh [2.5K] · Answer 1 · 2022-08-24T14:35:20+03:00

Answer:

The correct answer is D) all of the above

Explanation:

Lower foreign output means lower foreign demand. So the direct effect of the decrease in foreign output is a declining in U.S. exports by some amount.

The economy depends on the output in terms of demands and goods.

Suppose there is a reduction in foreign output (Y*). This reduction in Y* will cause which of the following in the domestic coun

Suppose there is a reduction in foreign output (Y). This reduction in Y will cause which of the following in the domestic coun