Short run example sentences

Most economists contend that other factors are more important than relative prices for exchange rate determination in the short run.For simplicity we assume a constant final goods price and constant rate of interest over short run to determine the level of aggregate demand for final goods in the economy.Interest Rates and the Exchange Rate: In the short run, another factor that is important in determining exchange rate movements is the interest rate differential i.e. the difference between interest rates between countries.Solvency ratios are calculated to determine the ability of the business to service its debt in the long run instead of in the short run.Corporations maintain their dividends in the face of a change in income in the short run and households try to maintain their previous living standards.

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