Macro 6.5 - Changes in the Foreign Exchange Market and Net Exports

[@glennwatson3313]

Just in time. You know what I like to do with your videos is copy the transcript, then edit it and work it into my lecture and or Powerpoint. Thank you.

[@ReviewEcon]

Awesome! I'm glad my videos are helping!!

[@ekhemka-x6q]

When you are talking about currency depreciation, are you saying that US exports increase when Mexican pesos depreciate? And is the adas graph for Mexico or US?

[@ReviewEcon]

When US currency depreciates, US exports increase and imports decrease, which shifts US AD to the right. When Mexican currency depreciates, US exports decrease and US imports increase. That shifts US AD to the left. I hope that helps!

[@andrewmacdonald5367]

Thanks as always!

[@ReviewEcon]

You're very welcome! 😄