Question 22 If capital mobility is imperfect and import demand is completely insensitive to changes in the level of domestic output, which one of the following statements is correct? The BP curve is horizontal The BP curve is vertical The BP curve is downward sloping The BP curve is upward sloping if than the domestic rate of interest The BP curve is not determinable international rate of interest is greater
Question 22 If capital mobility is imperfect and import demand is completely insensitive to changes in the level of domestic output, which one of the following statements is correct? The BP curve is horizontal The BP curve is vertical The BP curve is downward sloping The BP curve is upward sloping if than the domestic rate of interest The BP curve is not determinable international rate of interest is greater
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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