Present the case against floating exchange rates, International Economics

Assignment Help:

Q. Present the case against floating exchange rates.

Answer:

1.The discipline obligatory on individual countries by a fixed rate would be lost.

2. Undermine speculation and money market disturbances.

3. Damages to investment and international trade.

4. A Clumsy economic policies.

5. The misapprehension of greater autonomy.


Related Discussions:- Present the case against floating exchange rates

How to keep the exchange rate fixed, Q. If the central bank does not purcha...

Q. If the central bank does not purchase foreign assets when output increases but instead holds the money stock constant, can it still keep the exchange rate fixed at E 0 ? An

Adam Smith theory of absolute advantage.., Critically evaluate the theory a...

Critically evaluate the theory and outline the necessary assumptions for the theory to hold in it''s purest form

Opportunity cost, Using examples, from the government, illustrate the signi...

Using examples, from the government, illustrate the significant opportunity cost.

Strategic groups and strategic characteristics, Strategic groups      ...

Strategic groups        "Strategic groups are organizations within an industry with similar strategic characteristics, following similar strategies or competing on similar bas

Calculate the effects of the fall in the relative price, Q. Calculate the ...

Q. Calculate the effects of the fall in the relative price of good 2 on the income of the specific factors capital and land. Answer: For the reason that good 2 uses land, a f

INTERNATIONAL MEASUREMENT FOR ECONOMIC DEVELOPMENT, WHAT ARE THE ROLES OF F...

WHAT ARE THE ROLES OF FOREIGN TRADE IN ECONOMIC DEVELOPMENT

Foreign trade, What are the two main base of foreign trade ?

What are the two main base of foreign trade ?

Real exchange rate affects exports and imports, Q. Explain how an i...

Q. Explain how an increase in the real exchange rate affects exports and imports. Answer: While the real exchange rate rises domestic products are cheaper relative to

#foreign trade, What is the role of foreign trade in an economic developmen...

What is the role of foreign trade in an economic development of a country

How can long-run values in the real exchange rate change, Q. How can ...

Q. How can long-run values in the real exchange rate change? Answer: A elevate in world relative demand for U.S output origins a long-run real appreciation of the dollar

Write Your Message!

Captcha
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!

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