The story
Named after Alfred Marshall and Abba P. Lerner.
Etymology from Wiktionary, CC BY-SA 4.0.
Today it means: The condition that an exchange rate devaluation or depreciation will only cause a balance of trade improvement if the absolute sum of the long run export and import demand elasticities is equal to, or greater than 1. Full definition →
Named after Alfred Marshall and Abba P. Lerner.
Etymology from Wiktionary, CC BY-SA 4.0.