Question #332895
Assume that country A relies more heavily on imports than country B, while other macroeconomic conditions are the same. If there is a positive relationship between domestic economic activity and imports, then the multiplier of country A will be
O c. as large as country B's.
O b. smaller than country B's.
a. larger than country B^ prime s .
O d. uncertain.
Expert's answer
b. smaller than country B's.
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