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Alina [70]
3 years ago
5

How might a trade deal that allows two nations to freely exchange goods affect the circular flow of income? Neither country is l

ikely to experience a change in its economy. One country is more likely than the other to see its economy expand. The economies of both countries will likely grow due to an income increase. The economies of both countries will likely slow down due to an income decrease.
THE ANSWER IS C!!!
Business
1 answer:
Nostrana [21]3 years ago
4 0

The economies of both countries will likely grow due to an income increase.

Answer: Option C.

<u>Explanation:</u>

Global exchange known as international trade is the trading of capital, products, and administrations across worldwide fringes or regions. At the point when exchange happens between at least two countries factors like cash, government strategies, economy, legal framework, laws, and markets impact exchange.

Exchanging universally offers shoppers and nations the chance to be presented to merchandise and ventures not accessible in their own nations, or which would be progressively costly locally.

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The correct concerning the payback rule is rule is flawed because it ignores all cash flows after some arbitrary point in time.

Payback period in capital budgeting refers to the time required to recover funds spent on an investment or to reach breakeven. Example: If at the beginning of year 1 he invests $1,000 and at the end of year 1 and his second year he earns $500, it pays for itself within 2 years.

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