Decline in the value of the domestic currency

Assignment Help Business Economics
Reference no: EM13891953

Foreign exchange rate stability is important because a decline in the value of the domestic currency will ________ consumers, and an increase in the value of the domestic currency makes domestic industries ________ competitive with competing foreign industries. A) hurt; more B) benefit; less C) benefit; more D) hurt; less

Reference no: EM13891953

Questions Cloud

Indicate the change to globals book value of equity : Consider the following potential events that might have taken place at Global Conglomerate on December 27, 2012. For each one, indicate which line items in Global's balance sheet would be affected and by how much. Also indicate the change to Global's..
Demonstrate the shift that will occur in market in long run : You are going to display what happens in the long run in perfectly competitive markets when firms are operating at a loss. Demonstrate the shift that will occur in the market in the long run if all firms in this market are operating at a loss. Identi..
Are coffee and tea substitutes or complements : Brazil is the world's largest coffee producer. There was a severe drought in Brazil in 2013-2014 that damaged Brazil's coffee crop. The price of coffee beans doubled during the first three months of 2014. Draw and discuss a supply and demand diagram ..
Difference between the values of expenditure multiplier : Using the value of MPC = 0.8, and knowing the difference between the values of expenditure multiplier and the tax multiplier, it can be safely stated t hat the reduction of taxes by $40 0 billion (other things staying the same) , Estimate increased l..
Decline in the value of the domestic currency : Foreign exchange rate stability is important because a decline in the value of the domestic currency will ________ consumers, and an increase in the value of the domestic currency makes domestic industries ________ competitive with competing foreign ..
The american recovery and reinvestment act : Suppose the Stimulus package (The American Recovery and Reinvestment ACT of 2009) for $862 (originally it amount was approved for $787 billion and subsequently increased to $862 billion) was allocated for spending in all 3 components of the AE model ..
Suppose the council of economic advisors : Suppose the Council of Economic Advisors (CEA) hired you as an Economist (Economic consultant). The head of the council tells that she believes the current unemployment rate of 9 % is too high.
How simultaneous shifts in demand and supply curves : Explain how simultaneous shifts in demand and supply curves could explain this situation: A pest attack on the tomato crop increases the cost of producing ketchup. A mild winter causes cattle herds to be unusually large, causing the price of hamburge..
What the long-run effects would be on real gdp-public saving : Many people believe that Congress will eventually have to reduce Social Security benefits in order to reduce the budget deficit. Although most of the changes would not take place until later, assume for the purpose of this problem that Social Securit..

Reviews

Write a Review

Business Economics Questions & Answers

  Knowledge needed to build or distribute the product

Markets can give a buyer everything a buyer needs to know about a product even though the buyer does not have the training to understand the specific knowledge needed to build or distribute the product.

  Economy achieve equilibrium at full employment

Find aggregate output (Y) and the rate of interest (i) in this economy. Is the government's budget balanced, in surplus or deficit? If full-employment output is 830 and the Fed increases the money supply from 150 to 160, will economy achieve equilibr..

  When would it make sense for a factory that is losing money

when would it make sense for a factory that is losing money to remain in operation?additional requirementsaif the

  Wage increase-what is the price elasticity of labor supply

Suppose a wage increase from $19 to $21 an hour increases the number of job applicants from 50 to 64. What is the price elasticity of labor supply?

  Dealership in chicago also are allowing for buying

You own a car dealership in Chicago also are allowing for buying stock also have narrowed your choice to either purchasing stock in the Good Tires Company or American Bus.

  Conspicuous consumption refers

Conspicuous consumption refers to:

  Different passengers different prices for the same flight

Explain why an economy in which airlines charge different passengers different prices for the same flight will not have exchange efficiency. b. Going back to our two good (Apples, Oranges), two person (Ed, Mary) economy, suppose that at a given alloc..

  Illustrate what will be the accumulated debt

Assuming that the budget stays the same except for the interest on the debt for 10 years, illustrate what will be the accumulated debt. What will the size of the budget be after 10 years.

  Compute the coefficient of variation

Compute the coefficient of variation for each project and Classify the preferred project according to this criterion.

  Most effective company development strategies

Discuss the characteristics of the most effective company development strategies. Which characteristic do you believe is most important? Why?

  Occupational segregation is more likely to explain

Occupational segregation is more likely to explain the:

  Current income tax and consumption tax

Some economists and policymakers argue in favor of replacing the current income tax in the USA with consumption tax. What are your opinions on the issue? How do think such change impacts your income and expenditure pattern?

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