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THE MONETARY ACCOUNT
Also called official financing, this comprises the financial transactions of the government (handled by the central bank) needed to offset any net outflow of money on the current and capital accounts i.e. total currency flow. It comprises of:
i. Use of the foreign exchange reserves, i.e. increasing or decreasing them.
ii. Borrowing from the IMF i.e. borrowing or paying back.
iii. Central bank transactions with other countries central banks i.e. borrowing or lending.
The theory of consumer's behavior seeks to explain the determination of consumer's equilibrium. Consumer's equilibrium refers to a situation when a consumer gets maximum satisfacti
structure of managerial economics
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explain the incimental principle
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