Answered: 4. (10%) "Imports act as an automatic…

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4. (10%) "Imports act as an automatic stabilizer in an open economy.' Is this statement correct? Explain your answer.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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4. (10%) "Imports act as an automatic stabilizer in an open economy.
Is this statement correct? Explain your answer.

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