--- In an open and deregulated economic environment‚ exchange rates can play an important role in macroeconomic management for stability and growth. The increasing role of exchange rates since the early 1970s has indeed been a break from the Bretton Woods tradition of the 1950s and 1960s that assigned a limited role for exchange rates in economic affairs. However‚ the banking and currency crises of the 1990s that afflicted many developing countries in different regions have provided a somber lesson
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Budget Deficits and Current Account Disequilibrium in Nigeria: An Econometric Investigation (1970-2010) BY Iyeli I. Iyeli‚ (Ph.D)‚ Clement Utting and Jacob O. Owan Department Of Economics University Of Calabar Calabar‚ Nigeria e-mail:reiyeli@yahoo.com; Tel: +2348036558316 Abstract This study on budget deficits and current account disequilibrium in Nigeria seeks to investigate the effects of budget deficits on current account within the time frame of 1970-2010. Data on this
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CH 1 Quiz 1. Suppose your firm invests $100‚000 in a project in Italy. At the time the exchange rate is $1.23= 1.00 Euros. One year later the exchange rate is the same‚ but the Italian government has expropriated your firm’s assets paying only 80‚000 Euros in compensation. This is an example of a. Political risk 2. Country A can produce 10 yards of textiles or 6 pounds of food per unit of input. Compute the opportunity cost of adding one additional unit of food instead of textiles. a. 1 yard
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Multinational Business Finance Complete Test Bank by Eiteman Multinational Business Finance‚ 13e (Eiteman/Stonehill/Moffett) Chapter 1 Current Multinational Challenges and the Global Economy 1.1 Financial Globalization and Risk True/False 1) BRICs is a term used in international finance to represent assets that are considered to be inexpensive and sturdy‚ but fundamentally unsound and and incapable of coping with the upheavals now apparent in international financial markets. Answer: FALSE
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Chapter 21: International Finance Multiple Choice Questions EXCHANGE RATES: THE GLOBAL LINK 1. The exchange rate is the: A) Opportunity cost at which goods are produced domestically. B) Balance-of-trade ratio of one country to another. C) Price of one country’s currency expressed in terms of another country’s currency. D) Amount of currency that can be purchased with 1 ounce of gold. Answer: C Type: Complex Understanding Page: 437 2. An exchange rate is: A) Always fixed
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imports inflated the import bills and resulted in further widening the current account deficit‚ which accelerated the rupee fall. According to reports at 100% daily inflation commodity prices double in 24 hours. In view of this‚ in a recent press conference Indian Prime Minister P. Chidambaram said “If for one year there are no gold imports‚ it will change the current account deficit story of the country”. He also mentioned “I once again appeal to everyone to resist the temptation to buy gold”. Growing
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Australia’s Role in the Global Economy 2.2 Australia’s Trade and Financial Flows 2.2.1 Value‚ Composition and Direction of Australia’s Trade and Financial Flows International trade has historically played a very significant role in the development of the Australian economy Due to geographical isolation – trade has always represented high proportion of Australia’s economic activity‚ overseas market for Aust.’s primary commodities (agricultural products‚ minerals)‚ imports new technology
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and its relationship with economic growth in South Africa. Pretoria: Gordon Institute of Business Science. Madura‚ J.2008. International Financial Management.9th Edition: Cengage Learning. Masia‚ A.2005.Economics Society of South Africa.Bi-Annual Conference‚ Kwazulu-Natal: Elangeni Holiday Inn. Masia‚ A.2005.Currency Value Effects on the South African Economy and Estimation of its Underlying Equilibrium Level.Kwazulu-Natal.[Online].Available: http://www.essa.org.za/download/2005Conference/Masia.pdf
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2010 International Conference on E-business‚ Management and Economics IPEDR vol.3 (2011) © (2011) IACSIT Press‚ Hong Kong Transmission Effects of Exchange Rate on Foreign Institutional Investments in India Dr.Raju.G Professor and Head‚ Department of Management Studies‚ GCET Greater Noida‚ U.P‚ India-201308. e-mail: drrajug@yahoo.co.in Santosh Kumar Lecturer‚ Finance and Accounts‚ Amity Business School‚ Noida‚ India e-mail: santosh.frm@gmail.com Tanveer Shahab Lecturer‚ GEMA Institute
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reinforce the deflation‚ reduce the competitiveness of China’s exports and the growth of GDP. As a result‚ some additional policies may need to be implemented to remove the adverse impact of the yuan revaluation. Paper prepared for the 18th Annual Conference of the Association for Chinese Economic Studies Australia‚ “China: Internal Challenges and Global Implication in the New Era: Strategies for Sustainable Economic Growth and Business Responses to Regional Demands and Global Opportunities.” Melbourne
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