User Account

All Pages

Open-economy macroeconomic model

Assignment Help Macroeconomics
Reference no: EM131334606

Assume the bonds below have the same term and principal and that the state or local government that issues the municipal bond has a good credit rating. Which list has bonds correctly ordered from the one that pays the highest interest rate to the one that pays the lowest interest rate?

  • corporate bond, municipal bond, U.S. government bond
  • corporate bond, U.S. government bond, municipal bond
  • municipal bond, U.S. government bond, corporate bond
  • U.S. government bond, municipal bond, corporate bond

Suppose that the real exchange rate between the United States and Brazil is defined in terms of baskets of goods. Other things the same, which of the following will increase the real exchange rate (that is increase the number of baskets of Brazilian goods a basket of U.S. goods buys)?

  • an increase in the quantity of Brazilian currency that can be purchased with a dollar
  • a decrease in the price of U.S. goods
  • an increase in the price in Brazilian currency of Brazilian goods
  • All of the above are correct

At the equilibrium real interest rate in the open-economy macroeconomic model

  • saving = domestic investment
  • saving = net capital outflow
  • net capital outflow = domestic investment
  • net capital outflow + domestic investment = saving

 

Reference no: EM131334606

Questions Cloud

Determine which firm is more profitable : Using the return on common equity (ROE), determine which firm is more profitable. Use the DuPont system to determine what drives the difference in the profitability of the two.
Establish a production facility : PC-World is a U.S. manufacturer of personal computers. The CEO is looking at opportunities for off-shore production. The selection of the country where PC-World will establish a production facility will depend on the following two factors:
Analyze the reasons why government : What are their options and what, if anything, should government do? Discuss the design of pensions and income support for the elderly that are in place in Canada and in other countries and analyze the reasons why government is involved.
Analyze the financial condition of carters inc : Analyze the financial condition of Carter's, Inc. (ticker: CRI) over the last five years.- In which areas has the company improved, and in which areas has the company's financial position worsened?
Open-economy macroeconomic model : Suppose that the real exchange rate between the United States and Brazil is defined in terms of baskets of goods. Other things the same, which of the following will increase the real exchange rate (that is increase the number of baskets of Brazili..
Literature review on optimal capital structure does it exist : SBM2103 Financial Management Assignment. This assignment requires you (in a group of 2-3 students) to provide a literature review on one of the following topics: Optimal capital structure: does it exist? Islamic financing: can it work in Western syst..
Demands for monopolist product for each type of consumers : Suppose there are two types of consumers: Type A and Type B. The demands for a monopolist's product for each type of consumers are given by:
Determine the account balance at the end of year 10 : Invest $1,200 at the end of each year for the next ten years in an account that pays 10 percent annual interest and determine the account balance at the end of year 10.
Write a brief summary of the article : Write a brief summary of the article you choose. Based on the information included in the article, identify a trend and write 1 to 2 pages on this trend. Be sure to reference specific brands, the growth categories into which they fall and the tr..

Reviews

Write a Review

Macroeconomics Questions & Answers

  Summarize the gains from trade in the theory of comparative

Summarize the gains from trade in the Theory of Comparative Advantage

  Federal reserve would change the money supply

Elucidate three arious ways in which the Federal Reserve would change the money supply.

  Advantages of the breaking up of standard oil

What are the advantages of the breaking up of Standard Oil? What were some arguments for not taking this anti-trust action?

  Application of the key concepts

Journal entry questions are related to the application of the key concepts you learn to the real-world economic issues. The questions contain key economic principles and ideas related to the Macroeconomics topics you are learning.

  Stringent requirements on the safety and hygiene standard

Singapore maintains very stringent requirements on the safety and hygiene standard of imported food from all over the world. Food which do not meet the safety requirements or are suspected of imposing risks to consumers are not allowed to enter th..

  Assuming that absolute purchasing power parity

Assuming that absolute purchasing power parity holds, what should the U.S./Canadian exchange rate be if the CPI in Canada is 225 and the CPI in the U.S. is 179 and the U.S. interest rate is 6%?

  How much would nominal wages need to increase

Suppose that a labor union leader is trying to bargain for an increase in union workers' real wages of 5 percent. If he expected the price level to rise at a rate of 3 percent this year, how much would nominal wages need to increase for him to acc..

  Discuss the political values central to liberal democracy

Discuss the political values central to "liberal democracy." In your judgment, which elements stand out as most important? Why? Has the constitutional principle of limited government been lost? Why or why not?

  Question 1according to the solow growth model how would

question 1according to the solow growth model how would each of the following developments affect output per worker and

  Can jabba avoid recognizing income because it received

Jabba Company uses the cash method of accounting. Jabba received a computer from a customer as payment for a $2,000 bill. Can Jabba avoid recognizing income because it received payment in a noncash form? Explain.

  Play the social security game to solve the social security

play the social security game to solve the social security problem. detail your choices noting the whys of your choices

  Exploited workers in less developed countries

Do you believe that American consumers should boycott goods made by exploited workers in Less Developed Countries? Explain why this might or might not workace?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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