Lesson 11 of 11 • 4 upvotes • 9:13mins
This lesson discusses about the trade deficits, savings and investment. The relationship between savings and investment in an open economy is explained. In the later part the relationship that exists between the savings and deficit is also discussed.
11 lessons • 1h 40m
Course Overview
4:43mins
Introduction to Open Economy
9:05mins
Balance of Payments
5:42mins
BoP Surplus and Deficit
9:07mins
Foreign Exchange Market: An Introduction
6:42mins
Foreign Exchange Rate
8:52mins
Determination of Exchange Rate: Flexible Exchange Rate
11:41mins
Determination of Exchange Rate: Fixed Exchange Rate
8:49mins
Determination of income in an open economy
12:34mins
Equilibrium output and the trade balance
13:29mins
Trade deficits, savings and investment
9:13mins