When a country devalues its currency

Question # 00279616 Posted By: kimwood Updated on: 05/09/2016 03:04 PM Due on: 06/08/2016
Subject Economics Topic General Economics Tutorials:
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When a country devalues its currency, we expect that?

a. Income will rise because the devaluation stimulates aggregate demand.

b. Income will rise because the devaluation stimulates aggregate supply.

c. Income will fall because the devaluation reduces aggregate demand.

d. Income will fall because the devaluation reduces aggregate supply.

e. There will be no change in income because income is earned from production, not from trade

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  1. Tutorial # 00274890 Posted By: kimwood Posted on: 05/09/2016 03:04 PM
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