An economic expansion in the United States ________ the demand for exports from Mexico resulting in an increase in Mexican autonomous expenditures and a(n) ________ output gap in Mexico.
A. reduces; expansionary
B. increases; recessionary
C. increases; expansionary
D. reduces; recessionary
Answer: C
You might also like to view...
If firms in a competitive industry independently operate to maximize profits, the ________ are eventually equalized across the firms
A) total costs B) marginal costs C) profits D) revenues
The introduction of the practice of securitization allowed:
A. banks to more safely assume subprime mortgage loans. B. the government to promote a sense of security in the banking industry. C. banks to more safely leverage their investments. D. borrowers to feel better about taking out subprime loans.
Market structures are defined by all of the following except the
a. number of firms b. level of prices c. ease with which new firms can enter d. presence of substitute goods e. existence of barriers to entry
How does the market for insurance promote economy growth and investment?
Please provide the best answer for the statement.