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DEVALUATION of a currency to succeed in improving a country's BALANCE OF PAYMENTS. The condition states that the sum of the price elasticities of demand for imports and exports, measured in the same currency, must be more than unity and ELASTIClTlES OF SUPPLY must be high. Thus if the demand for imports is not elastic enough to discourage consumption of them when import prices have risen consequent on devaluation, the demand for expor ts can be so elastic that the increased value of imports induced by devaluation will compensate. This is a PARTIAL EQUlLlBRlUM approach as only import and export markets are considered.<br /><em>See also:</em> J-curve

fundamentals (E6)<br />The key economic statistics used to judge the state of an ECONOMY. At the simplest level, these are the inflation, growth and unemployment rates. A deeper analysis includes the rates of savings and productivity, external debt and current balance of payments.

<strong>Funds</strong> – Any monies or commitment to provide money, including checks, electronic transfers via ACH or wire.

Malinvaud, Edmond, 1923- (B3)<br />Leading Western econometrician and economic theorist who has been a major influence on the construction of economic models. He was born in Limoges, France, and educated in law at the Ecole Polytechnique, Paris, before turning to statistics. He was Professor-Director at the Ecole National de Ia Statistique et de
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