Is the horizontal section of Country H's excess demand curve necessarily symmetric around zero? That is, are OH and HO of equal length in Fig. 7.3? Under what special circumstance are they of equal length? ( Hint: the answer has somethingto do with preferences.) I can't seem to upload two images, but figure 7.3 is simply an excess demand curve and it shows that the distance between 0 and H, which represents imports of X, is smaller than the distance between H' and 0 which represents exports. 6. Is the horizontal section of Country H's excess demand curve necessarily symmet ric around zero? That is, are OH and H'O of equal length in Fig. 7.3? Under what special circumstance are they of equal length? (Hint: the answer has something to do with preferences.)
Is the horizontal section of Country H's excess demand curve necessarily symmetric around zero? That is, are OH and HO of equal length in Fig. 7.3? Under what special circumstance are they of equal length? ( Hint: the answer has somethingto do with preferences.) I can't seem to upload two images, but figure 7.3 is simply an excess demand curve and it shows that the distance between 0 and H, which represents imports of X, is smaller than the distance between H' and 0 which represents exports. 6. Is the horizontal section of Country H's excess demand curve necessarily symmet ric around zero? That is, are OH and H'O of equal length in Fig. 7.3? Under what special circumstance are they of equal length? (Hint: the answer has something to do with preferences.)
Chapter1: Making Economics Decisions
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Transcribed Image Text:Is the horizontal section of Country H's excess demand curve necessarily symmetric around zero? That is,
are OH and HO of equal length in Fig. 7.3? Under what special circumstance are they of equal length? (
Hint: the answer has somethingto do with preferences.) I can't seem to upload two images, but figure
7.3 is simply an excess demand curve and it shows that the distance between 0 and H, which represents
imports of X, is smaller than the distance between H' and 0 which represents exports.
6. Is the horizontal section of Country H's excess demand curve necessarily symmet
ric around zero? That is, are OH and H'O of equal length in Fig. 7.3? Under what
special circumstance are they of equal length? (Hint: the answer has something
to do with preferences.)
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