When the price level in the United States rises, then net exports should

A. rise and equilibrium real GDP should increase.
B. fall and equilibrium real GDP should increase.
C. fall and equilibrium real GDP should decrease.
D. rise and equilibrium real GDP should decrease.

Answer: C

Economics

You might also like to view...

The concept of improving work methods in the home is known as:

a. Satisficing b. Optimization c. Work Simplification d. Re-inventing

Economics

Increases in inventories are subtracted from GDP because they reflect output that is produced but not sold

a. True b. False

Economics