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Why does the IMF require some type of austerity program on its loans?
World Price
The global market price of a good or service, influenced by international supply and demand.
Free Trade
The elimination of tariffs, quotas, and other trade barriers between countries to allow for the unrestricted exchange of goods and services.
Autarky Price
The price of goods in a closed economy that does not engage in international trade.
Domestic Supply
The total amount of goods and services produced within a country that is available for purchase.
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