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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.
wate is the national incom of indi aims & objectives
review the general equilibrium conditions under autarky and given free trade using the opportunity cost theory of trade
Q. What explains the nearly universal scope of the Great Depression? Answer: The international gold typical played a central role in starting deepening and spreading the Great
Why Adam Smith theory cannot be applicable?
what does the law of reciprocal states about and how does it differ from the theories of smith and ricardo
Q. An export subsidy has the reverse effect on terms of trade to the effect of an import tariff. Domestically a tariff will raise the price of the import good, deteriorating the
Q. What are the predictions of the PPP theory with regard to the real exchange rates? Answer: The real exchange rate among two countries is a broad summary measure of
using diagrams, corden''s theory of customs union under conditions of oligopoly and within the existence of external economics of scale.
Annotated Bibliography
Q. Is Europe an optimum currency area? Answer: Yes the area's economy is strongly integrated with its own: most EU members export as of 10 to 20 percent of their output
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