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Pierre is French Canadian, and like many Canadians he is experiencing booming go

ID: 1185337 • Letter: P

Question

Pierre is French Canadian, and like many Canadians he is experiencing booming good economic times. His good fortune is likely to impact U.S. aggregate demand in what way? Answer A.Positively, because he prefers to make all his purchases in Canada from Canadian firms. B.Negatively, because he prefers to make all his purchases in Canada from Canadian firms. C.Negatively, since we are all members of North American Free Trade Zone. D.Positively, since he will be in a better position to purchase U.S.-made goods.

Explanation / Answer

D.Positively, since he will be in a better position to purchase U.S.-made goods.