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International Trade
Problems
Problem 2.1:
What identity describes both output and income?
[Solution]
Problem 2.2:
How do we calculate net exports?
[Solution]
Problem 2.3:
If a country exports $200 worth of goods and imports $300
worth of goods, what
is the level of net exports?
[Solution]
Problem 2.4:
What happens when net exports are negative?
[Solution]
Problem 2.5:
Would you expect a country that has few imports and many
exports to have much foreign investment?
[Solution]
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