Changes in net exports caused by changes in the domestic price level Select one: a. shift...
Changes in net exports caused by changes in the domestic price level
Select one:
a. shift the aggregate demand curve in the same direction as the price change.
b. shift the aggregate demand curve in the opposite direction of the price change.
c. do not shift the aggregate demand curve.
d. will not affect aggregate demand.
Homework Answers
b. is correct
Increase in price leads to decrease in exports and increase in imports that is net exports decrease. Decrease in net exports decreases aggregate demand
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Changes in net exports caused by changes in the domestic price
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Select one:
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