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The Chinese government managed the value of the chinese yuan relative to the US.between 1995 -2005 the yuan was pegged to the dollar at a rate of 8.28 yuan per US. China's central bank is responsible for using monetary policy to defend the fixed exchange rate. as a result of government policy geared toward spurring capital investment, China experienced a significance increase in investment demand.
using the IS-I'm diagram for home (China ) and foreign (US) illustrate the impact of this policy assuming that China's central bank respond to maintain a fixed exchange rate. how would this policy and CB response affect the Gov government budget, current account., domestic interest rates and output?
Following on the previous question how would china experience be different of the central bank allowed the yuan to float against the US. What would be the implications for china export to the US. For china import from the US.
How will the money supply be affected by this transaction ? what is the ultimate change in deposits, loans, and reserves in the banking system? Explain in detail.
What lessons can we learn from the Chad-Cameroon Oil Pipeline and the Lesotho Highlands Water projects? What corrective measures should be taken?
Suppose an economy has a natural rate of unemployment of 5%. According to Okun's law, what rates of unemployment would we expect to see in this economy, if the short-run output equals -2% one year and +2% another year? Explain the differences in resu..
Explain how the following events affect output, capital and consumption per unit of labor in the long run and along the transition according to Solow's Model:
What has been happening in Florida in general in terms of unemployment over this time period. What about for GDP.
Draw what you think are likely shapes of supply and demand curves for the markets listed below. Explain why you drew the graphs the way you did. Explain the slopes of the curves near the competitive equilibrium in your graphs.
q. 1. an investor buys a property for 1 million with 40 of the purchase price attributable to the land and the balance
The same size of word for data and instructions, what is the size of each data register. Elucidate what is the size of the instruction register of the computer in the fist question.
q.assume that the price elasticity of demand for cigarettes is .46 in the short run and 1.89 in the long run the income
Here are four individuals telling you their stories of how they became unemployed. In a multi-paragraph essay, apply the theories of unemployment to explain the type of unemployment that each of these individuals is facing and explains which of these..
For the CES utility function U(x, z)= x^p + z^p. Derive expressions for the optimal levels of good x and good z as functions of the price of good x, z,pz and income, Y. For simplicity assume that the price of good z is normalized to be 1. What is the..
What is a socially responsible effort? Social responsibility comes from the belief that people, governments, and organizations have a responsibility to the greater welfare of society
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