Exam 16: International Trade in Goods and Assets

In the two-period model with default,

In the two-period SOE model with production, if the SOE closes off trade with the rest of the world,

In a two-period model with default, the nation defaults on its debt in the current period if

In the two-period SOE model with production, an increase in current taxes

In the two-period SOE model with production, an increase in labour supply

In a two-period SOE model with production, an anticipated future increase in domestic total factor productivity

Current account deficits may not be undesirable for the domestic economy as it

In the two-period SOE model with production, a country that wants to reduce its current account surplus should

International trade has increased for which of the following reasons?

In the two-period SOE model with production and investment, a decrease in the world real interest rate

In a two-period SOE model with production, an increase in the capital stock

In a two-period model, as long as wealth effects are small, an increase in the world real interest rate

In the two-period SOE model, a decrease in current income

In the 19^th century, Canada had a period of significant current account deficits, which contributed to economic growth. These deficits most notably

Absorption can be defined as

In the two-period SOE model with production and investment, a decrease in the world real interest rate

In the two-period model with default,

In two-period SOE model with production, an increase in the world real interest rate

In the two-period SOE model, equal increases in current and future income imply that

In the two-period SOE model with production, the destruction of part of the nation's capital stock