Which of the tollowing is the condition for goods market equilibrium in an openeconomy?Desired saving is equal to desired investment.Desired saving is equal to desired investment plus capital account balance.Desired saving is equal to desired investment minus current account balance.Desired saving is equal to desired investment plus current account balance. Consider a small open economy. Suppose there is a temporary increase ingovernment expenditure. Without other changes, we can expect thatsaving curve will shift to the left and the current account balance will decrease.investment curve will shift to the left and the current account balance willincrease.investment curve will shift to the right and the current account balance willdecrease.saving curve will shift to the right and the current account balance will increase.13. of 35

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Which of the tollowing is the condition tor goods market equilibrium in an open economy? Desired saving is equal to desired investment. Desired saving is equal to desired investment plus capital account balance. Desired saving is equal to desired investment minus current account balance. Desired saving is equal to desired investment plus current account balance.

Which of the tollowing is the condition tor goods market equilibrium in an open economy? Desired saving is equal to desired investment. Desired saving is equal to desired investment plus capital account balance. Desired saving is equal to desired investment minus current account balance. Desired saving is equal to desired investment plus current account balance.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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