The secondary income distribution account shows how the balance of the primary income of an economy, institutional unit or sector is transformed into their disposable income through the receipt and payment of current transfers, excluding social transfers in kind. The purpose of the account is to reflect the maximum amount that a sector or the […]
Tag: Money
Purchasing power parity theory
The basis of this theory is the nominalistic and quantitative theory of money. The founders of this idea were the English economists D.Yum and D. Ricardo. The latter argued that the low cost of pounds sterling led to a trade deficit: “… the export of a coin is caused by its cheapness and is not […]
Exchange rate theories
Exchange rate theories have a number of features that are characteristic of each of them: denial of the theory of labor value, the value of the exchange rate, the commodity nature of money; a men’s concept is an exaggeration of the role of the sphere of circulation when underestimating production factors. The subject is menus […]