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Question 9
If the government of Kenya implemented a policy that decreased national saving, its real exchange rate would
depreciate and Kenyan net exports would rise.
depreciate and Kenyan net exports would fall.
appreciate and Kenyan net exports would rise.
appreciate and Kenyan net exports would fall.
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GinnyAnswer

Final answer:

When Kenya decreases national saving, its real exchange rate depreciates, leading to an increase in Kenyan net exports.


Explanation:

When the government of Kenya implements a policy that decreases national saving, the real exchange rate would depreciate and Kenyan net exports would rise. This is due to the fact that a decrease in national saving tends to reduce the exchange rate, making exports more competitive.


Learn more about exchange rate and national saving here:

https://brainly.com/question/31133278


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