Homework Answers
Ans: b) there is no export market for a country's output.
Explanation:
A cuurency depreciation leads more exports and less imports . So it creates more trade surplus. It helps to reduce trade deficit. So in the short run a currency depreciation can make a trade balalnce worse if there is no export market for a country's output.
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In the short run a currency depreciation can make a trade balance worse if a. there...
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