Question

An increase in domestic demand for an exported good causes the amount exported to

a. Increase
b. Remain the same
c. Decrease
d. Be uncertain

Answer 1

An increase in domestic demand for an exported good would increase the amount exported.

Step-by-step explanation:

An increase in domestic demand for an exported good would increase the amount exported. This is because when there is an increase in domestic demand, more people want to purchase and consume the exported good, which leads to an increase in its production and ultimately its export.