How the imf establishes economic stability

Assignment Help Microeconomics
Reference no: EM1395072

Question 1:

What is the purpose of the IMF and why might the IMF be called the "lender of last resort"? Discuss how  three of the tools they use for establishing economic stability in a country (Do not take the answers directly out of the text. There is much more to how the IMF establishes economic stability in a country than "surveillance")?

Question 2 Choose one of the World Bank's present projects (from the website) and tell how it will benefit international trade.

Question 3 Country A has a stable currency and does substantial business with country B. The following is a history of recent exchange rates, given country A's rate is a constant 1:

 Date Country B Exchange

 April 1 240:1

 May 1 255:1

 June 1 310: 1

 July 1 315: 1

What is happening here? How will a company in Country A purchase products from a company in Country B if it takes three months for the order to go thru?

Which is more conducive to international trade, the fixed or the floating exchange rate? Why?

Question 4

A:  If one Euro = $1.57 and one US dollar = 45 Mexican pesos, how many euros are there is 245 Mexican pesos?

B.  Explain the "Big Mac Index" and how it serves to indicate Purchasing Power Parity (PPP) among countries. (P. 331-6)  An example will help.

Question 5

Why has the global capital market grown so rapidly recently?  Do you expect it to continue to grow?

What are the risks that might be associated with investing in the Global Capital Market?

Reference no: EM1395072

Questions Cloud

Determine what the entropy change : Calculate How many grams of H2O at temperature 25 degree Celsius should be poored on the ice with no water in flask initially.
How political structure vary from us : Explain how power and authority are established in this village? How does political structure vary from that of US? How might this influence mission?
Write report on stimulates : The process of memory helps the brain creates images that helps a person learn, and remember long life experiences. The process of remembering and recovering reminds me of a computer system in a computer, which it remembers certain thing, and some..
Determine what will be the new temperature of the gas : Calculate the volume of a balloon at the final temperature if this balloon at temperature of 279K and an initial volume of 2.3L is warmed to 406K.
How the imf establishes economic stability : Why has the global capital market grown so rapidly recently?  Do you expect it to continue to grow and what are the risks that might be associated with investing in the Global Capital Market?
Dna genomes versus with rna genomes : A fundamental difference between eukaryotic viruses with DNA genomes versus those with RNA genomes is. Most eukaryal DNA viruses replicate in the host cell nucleus while most eukaryal RNA viruses replicate in the cytoplasm.
Performing simple linear regression : There are four conditions/requirements that must be met in order to perform simple linear regression. For each of the conditions below, choose the technique that should be used to determine whether or not that the condition is met.
Calculate the theoretical yield of lithium nitride : Determine the pressure in a 14.6 L cylinder filled with 0.440mol of N2 gas at a temperature of 327K.
Calculate the debye lengths : Compute the number of gms of CoCl2 that would be needed to prepare the solutions:(a) 550 mL of a 1.75 M solution (b) 210 mL of a 0.0180 M solution.

Reviews

Write a Review

Microeconomics Questions & Answers

  Competitive market-profit maximizing decisions

Competitive industry, market determined price =$12, Output = 50 units, ATC = $10, Marginal cost = $15, AVC = $7-Is this firm making the right profit maximizing decision? If yes, why and if not, what should this firm do?

  Cost curves in perfect competition industry

Catfish farming in Louisiana is a perfect competition market. Hence, customers of catfish are getting their catfish at the minimum cost per unit of manufacturing catfish, and they are very happy.

  Effect of increase in demand-supply on equilibrium

Show the impact on the equilibrium price and quantity that results from; (1) an increase in demand and (2) an increase in supply.

  Characteristics of perfect competition

Write down some of the characteristics of perfect competition. Which kinds of industries come closest to perfect competition in the real world?

  Plot the growth rate for techistan and growthistan

Compare the two graphs for GNP for Techistan and Growthistan. What is the difference in the final value of GNP for each country and Plot the growth rate for Techistan and Growthistan on one plot.

  Build and validate a multiple regression model

Interpret the coefficients of the regression model. Which independent variable has the strongest impact on the dependent variables

  Perfect competition-cost curves

When developing short-run cost curves, it is supposed that all firms in perfect competition have the same cost curves and they all make identical short-run profits or losses.

  Determining effect of subsidy

What effect will each of the following have on the supply of automobile tires?

  Explain why the yield curve for lower quality bonds

Calculate both Macaulay and modified durations of the 8-year, 8.5% coupon bond given a flat yield curve at 10% and explain why zero coupon bonds have a higher Macaulay Duration than coupon paying bonds of the same return.

  Economic and socially efficient market outcomes

35 percent Turkey growers operate in a competitive, stable cost industry. This industry has reached a long run equilibrium at a price of $1 per pound of turkey

  Efficiency and equity discussion

A competitive market is intended to result in improved efficiency, though it will not necessarily improve equity. That is, a competitive market might encourage efficient production but may not necessarily result in a redistribution of wealth

  Rise in incomes will affect the demand for computers

Explain how a rise in incomes will affect the demand for computers, describe any assumptions that you have to make to give your answer.

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