In a situation of a fixed exchange rate explain why in the, Ask an Expert

Economics

In a situation of a fixed exchange rate, explain why, in the monetary approach, an excess supply of money leads to a balance-of-payments deficit. Why is the deficit only temporary? How might advocates of the monetary approach explain a long-lasting deficit in the balance of payments?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91521368

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