Which of the Following Statements Is Correct About the Absorption

question 15

Multiple Choice

Which of the following statements is correct about the absorption approach?
I.If a country is operating below its full-employment level,it cannot improve trade balance by a currency devaluation.
II.If a country is operating at its full-employment level,the only way to improve trade balance is by reducing the domestic absorption.

• A) Only I is correct.
• B) Only II is correct.
• C) Both I and II are correct.
• D) Neither I nor II is correct.

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Definitions:

Sternocleidomastoid

A major muscle in the neck that facilitates head rotation and flexion.

Laterally Flexes

The act of bending the spine or another part of the body side to side, away from the midline of the body.

Rotates

To turn or revolve around an internal axis or center point.

Myomalacia

The softening of muscle tissue due to disease or injury.