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Homework 2 - budget means that government finances higher G...

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Homework 2 1. Chapter 15, #11: Explain how the nominal dollar/euro exchange rate would be affected…. 2. Chapter 15, #15: Discuss the following statement: “When… 3. Chapter 15, #9: A country imposes a tariff on imports from abroad… 4. Chapter 16, #4: Suppose there is a permanent fall in… 5. Chapter 16, #6: If a government initially has a balanced budget… (Hint: balance
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Unformatted text preview: budget means that government finances higher G by increasing Taxes). 6. Chapter 16, #3: Imagine that Congress passes… 7. Chapter 17, #7: How does fiscal expansion affect the current account under fixed exchange rate? 8. Chapter 17, #10 Using the DD-AA model analyze the output…...
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