The J-curve effect refers to the observation that ?

A. the trade balance usually gets better before it gets worse after a currency appreciation

B. GDP usually decreases before it increases after a currency appreciation

C. GDP usually decreases before it increases after a currency depreciation

D. the trade balance usually gets worse before it improves after a currency depreciation

Found an error? Read our corrections policy and report it in the comments below.

Be the first to comment if anything wrong with this mcq
Your comment successfully submitted!
It will automatically posted after review and approval by our staff member.