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Economics
MEDIUM
ENGLISH
Economics
The J-curve effect refers to the observation that ?
A
GDP usually decreases before it increases after a currency depreciation
Option A
the trade balance usually gets worse before it improves after a currency depreciation
Correct answer
C
the trade balance usually gets better before it gets worse after a currency appreciation
Option C
D
GDP usually decreases before it increases after a currency appreciation
Option D
Correct answer: B
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