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Basic terms

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Glossaries

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Term Definition
Trade Balance

Difference in value between imported and exported goods during the previous month. Export demand and currency demand are directly linked because foreigners usually buy the domestic currency to pay for the nation's exports. Export demand also impacts production and prices at domestic manufacturers.
Trimmed Means

A method of averaging that removes a small percentage of the largest and smallest values before calculating the mean. After removing the specified observations, the trimmed mean is found using an arithmetic averaging formula.

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