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Q. Explain why even owners of capital that cannot be moved can avoid more of the economic stability loss due to fixed exchange rates when Norway's economy is open to capital flows.
Answer: The major reason is through diversification. If Norway's capital market is incorporated with those of the EMU neighbours Norwegians will invest some of their wealth in other countries even as at the same time part of Norway's capital stock will be owned by foreigners.
Q. Explain the phenomenon of capital flight. Answer: The reserve defeat accompanying a devaluation scare is habitually labeled capital flight for the reason that the assoc
Question: Tire Co Ltd, a Mauritian company, is engaged in the import and distribution of tyres from TZ Co Ltd established in Mozambique. Tire Co Ltd trades since 10 years under
Identify and explain the three basic economic question that the group of survivors will have to answer everyday
Q. Why is the H.O. model called the factor-proportion theory? Answer: The H.O. model survey the limitations and the nature of presumptuous that the sole determinant of compar
Q. Imagine a world with two large countries, Home and Foreign. Evaluate how Home's macroeconomic policies affect Foreign. Compare the small and the large country cases; consider
Q. One reason international trade has a powerful effect on the distribution of income within countries is that some factors are "specific", and therefore cannot move costlessly fr
What is mean by opportunity cost model of haberler international treade
difference between classical and neo classical theory of international trade.
part of the return on the investment comes from the asset itself and part from the currency of the foreign currency. agree or disagree?
the Trade and the Economy
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