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Aggregate Demand with Fixed Exchange Rate

This chapter begins by explaining the impact of aggregate demand in an open economy, via fixed and flexible exchange rates. In a fixed or pegged exchange rate, the central bank doesn’t allow…

From  SDG Academy 90 plays

Currency Crises

This chapter focuses on what is behind a currency crisis, which is when the exchange rate depreciates and the local currency loses values. There are three types of models that explain the reason for…

From  SDG Academy 6 plays

Exchange Rate Arrangements

In this chapter, Professor Larraín covers the different forms of exchanging arrangements and some real-world cases of collapsing exchanging arrangements, or currency crises. A common case of…

From  SDG Academy 7 plays

International Comparisons of Income (PPP)

One of the challenges that faces macroeconomists is comparing the gross domestic product across countries. Using a numerical illustration of the Purchasing Power Parity (PPP), which is the concept of…

From  SDG Academy 13 plays