Equilibrium exchange rate 


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Equilibrium exchange rateExchange rate at which demand for a currency is equal to the supply of the currency in the economy.Equilibrium exchange rate Similar MatchesEquilibrium levelEquilibrium levelThe value taken on by an economic variable in equilibrium, as opposed either to some other value, or to its rate of change. One cone equilibriumOne cone equilibriumA freetrade equilibrium in the HeckscherOhlin 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 multicone equilibrium. General equilibriumGeneral equilibriumEquality of supply and demand in all markets of an economy simultaneously. The number of markets does not have to be large. The simplest Ricardian model has markets only for two goods and one factor, labor, but this is a general equilibrium model. Contrasts with partial equilibrium. Two cone equilibriumTwo cone equilibriumA freetrade equilibrium in the HeckscherOhlin Model in which prices are such that all goods cannot be produced within a single country, and instead there are two diversification cones. This, or a multicone equilibrium, will arise if countries' factor endowments are sufficiently dissimilar compared to factor intensities of industries. Contrasts with one cone equilibrium. Computable general equilibriumComputable general equilibriumRefers to economic models of microeconomic behavior in multiple markets of one or more economies, solved computationally for equilibrium values or changes due to specified policies. The equations are anchored with data from the countries being modeled, while behavioral parameters are either assumed or adapted from estimates elsewhere. Further SuggestionsMarket equilibriumEquilibrium price Partial equilibrium Nash equilibrium Equilibrium position Equilibrium Multicone equilibrium Disequilibrium Balance of payments equilibrium Equilibrium rate of interest Equilibrium 
