Description
Convert a supplied border price and measure its domestic price wedge.
Economic scalar terms depend on price/cost units, denominators, currency direction and the distinction between supplied scenarios and estimated behavior. A price-based margin differs from a cost-based markup, while a constant-revenue construction does not estimate demand. Local taxes, rebates and effect sums retain their stated accounting assumptions.
Convert a supplied border price and measure its domestic price wedge.
When to use this tool
Use Import Price Border Domestic Wedge when you already have borderPrice, domesticPrice, suppliedExchangeFactor and need to convert a supplied border price and measure its domestic price wedge.
How to use the tool and how it works
- Enter borderPrice, domesticPrice, suppliedExchangeFactor. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read convertedBorderPrice, domesticMinusBorder. Use the output convention below.
Require border/domestic prices>=0 and exchange factor positive/finite; converted=border*factor, gap=domestic-converted.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| borderPrice | Border Price | Required. Finite number; minimum 0. |
| domesticPrice | Domestic Price | Required. Finite number; minimum 0. |
| suppliedExchangeFactor | Supplied Exchange Factor | Required. Finite number; strictly above 0. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| convertedBorderPrice | Converted Border Price | Required. Finite number. |
| domesticMinusBorder | Domestic Minus Border | Required. Finite number. |
{
"input": {
"borderPrice": 10,
"domesticPrice": 15,
"suppliedExchangeFactor": 1.2
},
"output": {
"convertedBorderPrice": 12,
"domesticMinusBorder": 3
}
}Limitations and assumptions
- The factor must be domestic currency per border-currency unit. No tariff, exchange rate, valuation base or market effect is inferred.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Use the complete budget, demand, cost and applicable rule definitions for an economic conclusion. Estimate and validate the actual model when effects or responses are needed; one signed wedge, supplied share or algebraic identity does not establish behavior or policy outcomes.
References
Similar or alternative tools
- Consumer Rebate Face Value Net Price
Subtract a supplied rebate and flag a rebate larger than the listed price.
- Price Ceiling Equilibrium Gap
Measure a supplied equilibrium price's signed gap above a ceiling.