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Hi :)
I think for this question the answer should be (a).
NX = X- (ePf/P)*Q
Initially, the physical volume of imports does not change, their value measured in domestic currency unambiguously increases , and thus the trade balance worsens. ( Short term volume effect)
Then overtime , exports start rising because our goods become cheaper for foreigners to buy , and the volume of imports decline because imports become more expensive. ( Long term volume effect)
Overtime as trade volume adjusts to the changed relative prices , exports rise and imports volume progressively decline.
Also, this pattern of adjustment is also known as J-curve effect.
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