Economics · International Trade & Balance of Payments
According to the Marshall-Lerner condition, devaluation of currency improves the balance of payments if the sum of price elasticities of demand for imports and exports, in absolute terms, is:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1Equal to zero
- 2Equal to one
- 3Less than one
- 4Greater than one✓
Correct answer
Greater than one
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice International Trade & Balance of Payments MCQs →Want more practice questions on International Trade & Balance of Payments?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · International Trade & Balance of Payments