U.S. Net Exports Will Increase If

question 27

Multiple Choice

U.S. net exports will increase if

• A)U.S. income increases
• B)the value of the U.S. dollar decreases relative to foreign currency
• C)the value of the U.S. dollar increases relative to foreign currency
• D)U.S. exports decrease
• E)U.S. imports increase

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Definitions:

Last Recession

Refers to the most recent period of significant decline in economic activity across the economy, lasting more than a few months.

Winter

The coldest season of the year, occurring between autumn and spring.

Disinflation

A slowdown in the rate of inflation, marked by a gradual decrease in the general price level of goods and services over time.

Purchasing Power

The ability of an individual, firm, or group to purchase goods and services with a given unit of currency.