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#cfa-level-1 #economics #economics-in-a-global-context #los #reading-20-international-trade-and-capital-flows
The levels of aggregate demand and supply and the quantities of imports and exports in an economy are related to the concepts of excess demand and excess supply.
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2.1. Basic Terminology
porations) in the world economy and increased intervention into domestic policies and affairs by international institutions,” such as the International Monetary Fund, the World Trade Organization, and the World Bank. <span>The levels of aggregate demand and supply and the quantities of imports and exports in an economy are related to the concepts of excess demand and excess supply. Exhibit 2 shows supply and demand curves for cars in the United Kingdom. E is the autarkic equilibrium at price P A and quantity Q A , with the quantity of cars demanded equaling the q


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