Okoth Douglas

Okoth Douglas

Goals of macroeconomics policy

Definition of Macroeconomics Macroeconomics is the study of the structure and performance of national economies and policies that governments use to try to affect economic performance. Macroeconomics encompasses the examination of aggregate variables in an economy such as total consumption…

Why Countries Get involved in International Trade

DEFINITION OF INTERNATIONAL TRADE International trade is the trade between countries in the world. Equally international trade can also be defined as the voluntary exchange of goods, services, assets or money between residents of two countries. These residents may include…

What is interest rate parity theory?

Interest parity definition Interest rate parity (IRP) is a theory that helps to explain the relationship between exchange rates and interest rates. It states that the difference in interest rates between two countries should be equal to the difference in…