2- Exchange Rates Flashcards
1
Q
Marshall Lerner Condition
A
A currency depreciation will only correct a current account deficit if:
PED(X) + PED(M) >1
Economics Theme 4 Revised > 2- Exchange Rates > Flashcards
Marshall Lerner Condition
A currency depreciation will only correct a current account deficit if:
PED(X) + PED(M) >1