Assume That Country X and Country Y Are Trading Partners

question 162

Multiple Choice

Assume that Country X and Country Y are trading partners and the exchange rates are fixed.If prices in Country Y rise, all of the following are expected to happen except

• A)Country X will export more.
• B)Country Y will import more.
• C)Net exports will rise for Country X.
• D)Trade will boost Country Y GDP.

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Definitions:

Economic Expansion

A phase in which a country's economy grows stronger, characterized by increased output, employment, and trade.

Social Mobility

The movement of individuals, families, or groups through a system of social hierarchy or stratification.

Self-Employed

refers to an individual who works for themselves, either by running their own business or offering their services as a freelancer or contractor.

Personal Satisfaction

The sense of contentment or fulfillment a person feels from achieving or accomplishing something.