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The _______________ States That the Foreign Exchange Market Is Stable

question 21

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The _______________ states that the foreign exchange market is stable when in absolute sense the sum of the price elasticities of demands for imports and exports is greater than one.


Definitions:

Efficiency

The ability to achieve a goal or perform a task with the minimum amount of time, effort, or resources.

Wealth

An abundance of valuable financial assets, resources, or property owned by an individual, corporation, or country.

Act Utilitarianism

A theory of ethics which requires that individuals examine all the potential actions in each situation and choose the action that yields the greatest amount of pleasure over pain for all involved.

Ethical Theory

A system of principles designed to guide decision-making by determining what is morally right and wrong.

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