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CH35 APECON MACRO

TermDefinition
open economy economy that interacts freely with other economies around the world
closed economy economy that does not interact with other economies in the world
trade balance the value of a nation's exports minus value of its imports
trade deficit excess of imports over exports
trade surplus excess of exports over imports
net exports country's exports minus country's imports bought and sold
current account net exports/current balance of trade sum of goods and services, investment income, and transfer payments
capital account change in the current account
nominal exhchange the rate at which a person can trade the currency of one country for the currency of another
appreciation value goes up
depreciation value goes down
trade policy agreements and regulations on controlling imports and exports to foreign countries
capital fight money rapidly flow out of a country due to a economy consequence
Created by: tynerd_28