Discuss the key motives behind foreign direct investment

Assignment Help International Economics
Reference no: EM131314762

1) Discuss the key motives behind foreign direct investment. Compare (statistically) the FDI of US corporations with those of foreign multinationals in the US. Why do many emerging-market economies welcome FDI by US multi-nationals in their economy?

2) Why are multi-national enterprises a source of conflict in their home country? In their host countries?

3) Give four examples of US credit (+) transactions, followed by four examples of US debit (-) transactions! Pick one transaction from each of these two categories and describe either in terms of its double-entry book-keeping logic as well as how it gets paid for in the international payments process!

4) Discuss the structure of the balance of payments in terms of its different accounts (and their respective sub-accounts)! How is the US currently faring in terms of its balance of payments with the rest of the world? Why is the US not like any other debtor nation?

5) Discuss (and, if possible, give contemporary examples of) exchange-rate quotations, in terms of spot rates, forward rates, real exchange rates, effective exchange rates! What happens when a currency depreciates against another currency?

6) I would like you tp discuss the key determinants of exchange rates. In that discussion please make sure to distinguish between the different (long-term, medium-term, and short-term) time horizons of exchange-rate determination.

7) Under what conditions (see Marshall-Lerner Condition) will a depreciation effectively help reduce a country's trade deficit? What is the J-curve and how does its presence in effect alter (or perhaps even undermine) this adjustment process?

8) Compare (by listing and assessing the pluses as well as the minuses) of flexible exchange rates versus fixed exchange rates! How do countries decide which exchange-rate regime to pursue?

Reference no: EM131314762

Questions Cloud

How do you go about weighing the alternatives : How do you go about weighing the alternatives? Once you choose a most important use of time, why do you not spend all your time on it? Use the notion of opportunity cost in your answer.
What should you know about website privacy : What should you know about website privacy? How do you know when an online transaction is secure? Why is Anti-spyware software important to my online security?
Analyze the problem in the scenario that you have chosen : Define the problem in the scenario that you have chosen. Analyze the problem in the scenario. Generate options for solving the problem in the scenario. Evaluate the options for solving the problem.
Where is the gradient maximum : Given the following expression for the pressure field where x, y, and z are space coordinates, t is time, and P0, ρ, V∞, and L are constants, find the pressure gradient.
Discuss the key motives behind foreign direct investment : Discuss the key motives behind foreign direct investment. Compare (statistically) the FDI of US corporations with those of foreign multinationals in the US. Why do many emerging-market economies welcome FDI by US multi-nationals in their economy
How do you feel remington has handled the situation : After Viewing the Remington Under Fire Video write a 2-page double spaced essay regarding the ethics of product responsibility and consumer safety. How do you feel Remington has handled the situation? What needs to be done to fix the product? What..
What is the proportion of ownership after sale of company : Company raises 40 on 60. VC takes standard participating preferred. Co. is acquired for $160 two years later. Calculate what VC gets in dollars. What is that as proportion of company value? What is the VC’s liquidation preference? What is VC’s partic..
Probability that the sample mean : A warehouse manager at Dockhousing, Inc. maintains a large inventory of video games. The company's database states that the mean value of the games in inventory is $50, with a standard deviation of $5.
The current share price implied by post money valuation : Company Z raises 30 on 40 with VC taking convertible preferred with a conversion price equal to the current share price implied by post money valuation. What is the value at exit that would make the VC want to convert into common stock?

Reviews

Write a Review

International Economics Questions & Answers

  What will be the effects of an increase in the money supply

What will be the effects of an increase in the money supply

  Questions based on international business

Questions based on International Business

  calculate the series for nominal gdp

Calculate and Plot using a spreadsheet (like Ms Excel) the series for Nominal GDP

  Burger king beefs up global operations

Burger King Beefs Up Global Operations

  Consider two countries that share the same technology

Consider two Countries that share the same technology, South Africa and the UK, and two goods, Diamonds and Tea

  Find best the governance system of the eu

Which political system describes best the governance system of the EU? Is the governance system of the EU democratic? Why ‘yes', or why ‘not'?

  Review the country political economy

Political Economy and Foreign Direct Investment - Review the country's political economy

  Calculate the value of the intraindustry trade

Calculate the value of the Intraindustry Trade

  Identify the funding mechanism of the project

Identify the funding mechanism of the project, and the sources of funding. Identify the key players or stakeholders of the project. Who is supposed to benefit from the initiative?

  Alternative trade: legacies for the future

explain how  Alternative Trade: Legacies for the Future  supports or challenges your conceptualizations of trade and development. Are there themes that some of you agree upon? Do you disagree on others? Describe your conversation.

  Find the equilibrium interest rate

The consumption function is given by C = 200 + 0.75(Y - T ). The investment function is I = 200 - 25r, r is the real interest rate. Government buy and taxes are both 100.

  Country economic and trade summary reports

Global marketing managers must understand economics and trade rules of countries and regions within which they trade.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd