If in a country the tariff rates rises and at the same time the personal income tax rates in the country falls, what happens to the exchange rates? sketch a graph and explain please

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter23: The International Trade And Capital Flows
Section: Chapter Questions
Problem 35CTQ: If countries reduced trade barriers, would the international flows of money increase?
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If in a country the tariff rates rises and at
the same time the personal income tax
rates in the country falls, what happens
to the exchange rates? sketch a graph
and explain please
Transcribed Image Text:If in a country the tariff rates rises and at the same time the personal income tax rates in the country falls, what happens to the exchange rates? sketch a graph and explain please
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