Assume an economy operates a fixed exchange rate regime. Assume the banking sector increases their lending to the non-bank private sector. Use an elementary flow of funds analysis to show the full effects (bearing in mind the exchange rate regime) on the non-bank private sector, the banking sector, the official sector and the overseas sector.
Assume an economy operates a fixed exchange rate regime. Assume the banking sector increases their lending to the non-bank private sector. Use an elementary flow of funds analysis to show the full effects (bearing in mind the exchange rate regime) on the non-bank private sector, the banking sector, the official sector and the overseas sector.
Chapter1: Making Economics Decisions
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Assume an economy operates a fixed exchange rate regime. Assume the banking sector increases their lending to the non-bank private sector. Use an elementary flow of funds analysis to show the full effects (bearing in mind the exchange rate regime) on the non-bank private sector, the banking sector, the official sector and the overseas sector.
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