Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 9 of 15
According to the Marshall-Lerner approach, a currency depreciation will BEST lead to an improvement on the home country's trade balance when the home demand for imports is ______
B. elastic; foreign export demand is inelastic.
C. elastic; foreign export demand is elastic.
A. inelastic; foreign export demand is elastic.
B. elastic; foreign export demand is inelastic.
C. elastic; foreign export demand is elastic.
User Contributed Comments 0
You need to log in first to add your comment.
I just wanted to share the good news that I passed CFA Level I!!! Thank you for your help - I think the online question bank helped cut the clutter and made a positive difference.
Edward Liu
Learning Outcome Statements
describe exchange rate regimes and explain the effects of exchange rates on countries' international trade and capital flows
CFA® 2025 Level I Curriculum, Volume 1, Module 7.