Assume the Marshall-Lerner Condition Holds

question 70

Multiple Choice

Assume the Marshall-Lerner condition holds.Which of the following will cause a reduction in net exports?

• A)a reduction in government spending
• B)a reduction in investment
• C)an increase in foreign output
• D)an increase in the real exchange rate
• E) all of the above

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Definitions:

Structural Holes

The absence of ties between two parts of a social network, creating a separation that can be bridged to facilitate information flow.

In-group Team Members

Individuals who belong to a specific group or team and share a common identity or purpose with others within that group.

Dense Ties

Strong, tightly-knit connections within a network, characterized by frequent interaction and high levels of trust.

Guanxi Network

A social network of relationships and obligations that facilitate business and other dealings in Chinese cultures.