An Increase in the U

question 29

Multiple Choice

An increase in the U.S.money supply would cause the value of the dollar to ________ and U.S.net exports to ________ in the short run using a Keynesian model.

• A)fall; fall
• B)fall; rise
• C)rise; rise
• D)rise; fall

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Definitions:

Decision Model

A mathematical or conceptual framework used to help make decisions, often by evaluating different alternatives and their potential outcomes.

Spreadsheet

A digital document made up of rows and columns forming cells, used for organizing, analyzing, and storing data in tabular form.

Slack

In optimization, slack refers to the difference between the resources available and the resources used, indicating unused capacity or flexibility.