Impacts on currency markets

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Q1. Consider the following market demand and supply curves.

P=9 + .4 Qs

P=30 - .3Qd

where P is the price per unit in dollars and Qs and Qd are quantities supplied and demanded (in millions of units) correspondingly. Discover the equilibrium value as well as quantity which will prevail in the market. At a price of $10, would there be a surplus or shortage? if so, how much?

Q2. a) the benefits from well behaved lending; the impact of tax on foreign investments;
b) evaluate a economic crisis discussed as Asian crisis of 1997, or the Brazilian crisis of 1999, or the debt crisis of 1982 with regard to the causes of the crisis, behavior of lenders, borrowers, world organizations, and the impacts on currency markets and on economic conditions within the country and globally.

Reference no: EM137847

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