Business, 10.03.2020 07:04 briannawoods13

The country of Leverett is a small open economy. Use the information provided below to answer the following questions about national saving (S), domestic investment (I), net exports (NX), the domestic interest rate (r), and the exchange rate (ε).

a. What happens to saving, investment, net exports, the interest rate, and the exchange rate?b. The citizens of Leverett like to travel abroad. How will this change in the exchange rate affect them?

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