Solved: Explain foreign trade effect of expansionary monetary policy, Microeconomics

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Explain foreign trade effect of expansionary monetary policy

Assignment:

Please use ONE page maximum for the course writing assignment. No hand written paper will be accepted.

1- Explain how foreign trade effect (also called the net export effect) could make the effects of an expansionary monetary policy (easy money policy) stronger.

2- Explain how foreign trade effect (also called the net export effect) could make the effects of an contractionary monetary policy (tight money policy) stronger.

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Microeconomics: Explain foreign trade effect of expansionary monetary policy

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