(a) Locate and correct the following problems facing nation 1 economy using expenditure changing and expenditure

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answerhappygod
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(a) Locate and correct the following problems facing nation 1 economy using expenditure changing and expenditure

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(a) Locate and correctthe following problems facing nation 1 economy usingexpenditure changing and expenditure switching policies.
(i). External deficit andinternal unemployment
(ii). External surplus andinternal inflation.
(b). If the government ofnation 1 does not like to change the value of the domesticcurrency, then how problems mentioned in (a) can be removed whenthere is flexible exchange rate and capital mobility isinelastic.
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