Reference no: EM131238710
Transactions between the US and the rest of the world are shown below.
US citizens spend 45 million dollars visiting China.
American companies sell 5 million dollars worth of stock to foreign investors.
US citizens receive 5 million dollars worth of dividend payments from foreign corporations.
US government buys 26 million dollars worth of bonds.
American citizens purchase 14 million dollars worth of Japanese produced vehicles.
US government buys 13 million dollars worth of gold.
Ford sells 100 million dollars worth of cars overseas.
US corporations receive 4 million dollars in interest from foreign corporations.
US citizens send 16 million dollars in disaster relief to Haiti.
What would be the initial impact that the US balance trade would have on the value of the dollar?
The dollar would increase
The dollar would decrease
The dollar would remain constant
Cannot be determined
|
Estimate the value of the firm
: Rewarding insights, LLC. current annual profits are $20,000. If they anticipated a 2% growth rate in profits and a long-term interest rate of 3%, estimate the value of the firm.
|
|
?nd another bundle that gives her same level of satisfaction
: Rachel’s preferences for goods x and y are represented by the following utility function: U(X,Y ) = X1/2.Y 1/2. Find the marginal rate of substitution. Comment if it is increasing, constant or decreasing in x. Graph the indi?erence curves correspondi..
|
|
Interested in the ordering of bundles
: We saw in class that since we are only interested in the ordering of bundles, a positive monotonic transformation (one that does not change the order) of a utility function also represents the same preferences. Mathematically, a positive monotonic tr..
|
|
Project the amount in her pension plan at retirement
: Jill starts working on her 23rd birthday with an annual saary of $57,000. She sets aside 4.5% of her salary at the end of each year for her pension plan, whch is matched by her employer. She hopes her retirement account can make 5.5% per year interes..
|
|
Balance trade would have on the value of the dollar
: Transactions between the US and the rest of the world are shown below. What would be the initial impact that the US balance trade would have on the value of the dollar?
|
|
Dollar and yen exchange rate
: Suppose that the dollar/yen exchange rate on 1/1/2015 was ¥120/$. One month later, the rate was ¥115/$. If the J-curve theory holds, which of the following situations would occur, all else being equal?
|
|
The immediate impact on russias balance of trade
: Suppose Russia's GDP increases at a faster rate relative to its trading partners over the course of the year. What will be the immediate impact on Russia's balance of trade?
|
|
Pressure on the value of the british pound
: Assume that the real interest rate becomes much higher in the U.K. relative to the U.S. This will place ____ pressure on the value of the British pound. Also, assume that inflation rates in the U.S. begin to rise relative to inflation rates in the U...
|
|
Expalin about country risk analysis and contingency plan
: Breifly expalin about country risk analysis and contingency plan for germany in textile business.
|