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Balance of payments equilibrium |
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Balance of payments equilibriumMeaningful only under a pegged exchange rate, this referred to equality of credits and debits in the balance of payments using the traditional definition of the capital account. A surplus or deficit implied changing official reserves, so that something would ultimately have to change.Similar MatchesEquilibriumEquilibrium1. A state of balance between offsetting forces for change, so that no change occurs. 2. In competitive markets, equality of supply and demand. One cone equilibriumOne cone equilibriumA free-trade equilibrium in the Heckscher-Ohlin Model in which prices are such that all goods can be produced within a single country, and there is only one diversification cone. This will arise if countries' factor endowments are sufficiently similar compared to factor intensities of industries. Contrasts with multi-cone equilibrium. DisequilibriumDisequilibrium1. Inequality of supply and demand. 2. A untenable state of an economic system, from which it may be expected to change. Market equilibriumMarket equilibriumEquality of supply and demand. See equilibrium. Multi-cone equilibriumMulti-cone equilibriumA free-trade equilibrium in the Heckscher-Ohlin Model in which prices are such that all goods cannot be produced within a single country, and instead there are multiple diversification cones. This, or a two cone equilibrium, will arise if countries' factor endowments are sufficiently dissimilar compared to factor intensities of industries. Contrasts with one cone equilibrium. Further SuggestionsEquilibrium rate of interestEquilibrium Partial equilibrium Equilibrium position Equilibrium level Equilibrium price Computable general equilibrium Equilibrium exchange rate Two cone equilibrium Nash equilibrium General equilibrium |
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