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Demand shock

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Demand shock
An event that affects the demand for goods and services in an economy.


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A big assumption behind the benign scenario of a tightening labor market boosting nominal GDP in the short-term is that there is no negative demand shock to upset Japan's labor market.
With two billion bushels of corn and 450 million of beans being carried over, there is ample room for a demand shock or a minor setback in production.
Therefore, in response to a demand shock, and in the absence of some additional countervailing disturbance, the real rate must be moved in the same direction as the movement in demand resulting from the equity shock.
 
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