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In order to try to fight the impact of the COVID-19 outbreak, the U.S. has implemented...

In order to try to fight the impact of the COVID-19 outbreak, the U.S. has implemented expansionary monetary policy. Using both words and figures, explain how this policy affects the real exchange rate and trade position of a small open economy, such as Sweden. Assume that this small open economy was not directly affected by the outbreak.

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