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Solve the initial-value problem using the method of undetermined coefficients.
Real Interest Rate
The interest rate adjusted for inflation, reflecting the true cost of borrowing or the true return on investment.
Net Capital Outflow
The difference between a country's purchases of foreign assets and foreign purchases of its assets over a given period.
U.K.
The United Kingdom, a sovereign country located off the northwestern coast of mainland Europe, comprising England, Scotland, Wales, and Northern Ireland.
Open Economy
An economy that interacts freely with other economies around the world.
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