4.7+Balance+of+Payments+problems

= 4.7 Balance of Payments problems =


 * ===**__ Consequences of a current account deficit or surplus __**===
 * ===**__ Methods of correction __**===
 * Managed changes in exchange rates
 * Reduction in aggregate demand / expenditure – reducing policies
 * Change in supply-side policies to increase competitiveness
 * Protectionism / expenditure – switching policies
 * ===__ Consequences of a capital account deficit or surplus __===
 * ===__ Marshall Lerner condition __===


 * ===__ J-Curve __===