3547EconomicsMedium
If foreign manufacturing costs and profit margins in response to a depreciation in the U.S dollar the effect of these actions is to?
Alengthen the amount of time in which the depreciation leads to smaller trade deficit
Blengthen the amount of time in which the depreciation leads to smaller trade surplus
Cshorten the amount of time in which the depreciation leads to smaller trade deficit
Dshorten the amount of time in which the depreciation leads to smaller trade surplus
Correct answer
A. lengthen the amount of time in which the depreciation leads to smaller trade deficit
Explanation
The correct answer is lengthen the amount of time in which the depreciation leads to smaller trade deficit.