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INTERNATIONAL FINANCE
International finance is concerned with the mobility of financial capital across the countries, and the problems and opportunities this mobility presents the individual countries. It would not be too inaccurate in present day context to say that while the international trade deals with the current account and international finance deals with the capital account of the BOPs. The issues like the choice of exchange rate regime and of the modern-day balance of the payments crises also fall firmly within the purview of the international finance.
Q. Explain the following figure: Answer : The figure explicate how the money markets of two countries are linked through the foreign exchange market. The financial pol
In a day of production, firms in angola can produce 200 liters of oil or 10 kilograms of tungsten. Firms in Namibia can produce 160 liters of oil or 60 kilograms of tungsten. Which
Q. Explain how the AA schedule is derived. Answer: For a fixed real money supply an enhancement in output leads to an increase in the domestic interest rate. In the foreign e
Q. Write an essay on the importance of a sound banking system in developing countries. Answer: Students must describe the phenomena of moral hazard as a part of their answer,
Q. It can be demonstrated that any protectionist policy, which effectively shifts real resources to import competing sector or industry, will harm export industries or sectors. T
Q. Explain why, according to Feldstein and Horioka, one should expect that domestic investment rates diverge widely from saving rates. Answer: The decisions of corporations t
distinguish between net terms of trade and gross terms of trade
Why we Devising an International Monetary System
What is the role of foreign trade in an economic development of a country
Strategic groups "Strategic groups are organizations within an industry with similar strategic characteristics, following similar strategies or competing on similar bas
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