What are the effects on the french balance of payments

Reference no: EM13897892

1. What are the effects on the French balance of payments of the following set of transactions? Les Fleurs de France, the French subsidiary of a British company, The Flowers of Britain, has just received :4.4 million of additional investment from its British parent. Part of the investment is a :0.9 million computer system that was shipped from Britain directly. The :3.5 million remainder was financed by the parent by issuing euro-denominated Eurobonds to investors outside of France. Les Fleurs de France is holding these euros in its Paris bank account.

2. In December 1994, a major earthquake rocked Kobe, Japan, destroying the housing stock of more than 300,000 people and ruining bridges, highways, and railroad tracks. What impact, if any, do you think this event had on the Japanese current account deficit? Why?

Reference no: EM13897892

Questions Cloud

Examine how trade in goods and services has evolve over time : Examine how trade in goods and services has evolved over time. Is the country becoming more or less competitive in world markets?

Determine seduak''s optimal capital structure : determine Seduak's optimal capital structure

What are the effects on the british balance of payments : What are the effects on the British balance of payments of the following set of transactions? U.K. Videos imports £24 million of movies from the U.S. firm Twenty-First Century Wolf (TFCW).

Determine the required rate of return on the security : Determine the required rate of return on the security

What are the effects on the french balance of payments : What are the effects on the French balance of payments of the following set of transactions? Les Fleurs de France, the French subsidiary of a British company, The Flowers of Britain, has just received.

Could east germany developed without running account deficit : Interest rates in Germany were his torically high during this period. Why might that have been the case? Could East Germany have been developed without running a current account deficit? How?

What is the dividend yield and capital gains yield today : What is the dividend yield and capital gains yield today

What are official international reserves of the central bank : What are official international reserves of the central bank? What is likely to happen if a central bank suddenly prints a large amount of new money?

What are the potential benefits of a pegged currency system : What are the potential benefits of a pegged currency system? What is the difference between a target zone and a crawling peg?

User Account

All Pages