Which One of the Following Best Describes the Net Export

question 212

Multiple Choice

Which one of the following best describes the net export effect associated with an expansionary Canadian fiscal policy?

• A)domestic interest rate falls, foreign demand for dollars rises, dollar appreciates, and net exports increase.
• B)domestic interest rate falls, foreign demand for dollars rises, dollar appreciates, and net exports fall.
• C)domestic interest rate rises, foreign demand for dollars falls, dollar depreciates, and net exports increase.
• D)domestic interest rate rises, foreign demand for dollars increases, dollar appreciates, and net exports decline.

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Definitions:

Ratio Level

The highest level of measurement that describes data with a true zero point and equal intervals between values, allowing for a full range of descriptive and inferential statistical operations.

Statistical Test

A procedure for making inferences about the properties of a population, based on sample data.

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The age at which an individual is recognized by law as an adult and capable of making legal decisions.

Chi-Square Test

A statistical test used to determine the significance of an observed association between two categorical variables.