Discussion Post: Global Economics
An important assumption underlying the DD-AA model is that other things equal, a real depreciation of the home currency immediately improves the current account, while a real appreciation causes the current account immediately to worsen.
o Explain graphically under what conditions it happens with a lag by explaining the J curve?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.