What will be the effect of this action of the brazilian

Assignment Help Macroeconomics
Reference no: EM13306476

Brazil’s president, Dilma Rousseff, and her finance minister, Guido Mantega, are attacking the U.S. Federal Reserve for aggressively buying bonds and driving the exchange rate of the dollar down. This will hurt Brazil and other developing-country exporters, Mantega says, and what’s more, it’s meant to. 

1. How does the purchase of bonds by the Fed lower the exchange rate of the dollar? Explain.

2. What can the Central Bank of Brazil do to prevent the Brazilian currency from appreciating relative to the dollar? Explain.  

3. What will be the effect of this action of the Brazilian Central Bank on the Brazilian economy?

Reference no: EM13306476

Questions Cloud

Write a program that reads a sentace and counts the number : write a program that reads a sentace and counts the number of alpha characters using the tolower or toupper function along with the isalpha function. Then count vowels using a switch statement. Then i have to give the total number of keystrokes.
How to find the information in the visitors guide : On your first trip to Planet X you happen to take along a 165 g mass, a 40 cm long spring, a meter stick, and a stopwatch. You're curious about the free-fall acceleration on Planet X, where ordinary tasks seem easier than on earth
Produce a report by salesman : Do a compile-time initialization of the salesperson's names and product list. Produce a report by salesman, showing the total sales per product.
What are the tensions in the two ropes : A board, with a mass m = 20.0 kg and a length of 4.00 m, is supported by two identical vertical connected to the ends of the board, What are the tensions in the two ropes
What will be the effect of this action of the brazilian : Brazil’s president, Dilma Rousseff, and her finance minister, Guido Mantega, are attacking the U.S. Federal Reserve for aggressively buying bonds and driving the exchange rate of the dollar down
Find the linear acceleration of the block : A wheel with a mass of 40 kg, and a rim radius of 30.0 cm is mounted vertically on a horizontal axis. Find the angular acceleration of the wheel and the linear acceleration of the block
How large is the resultant magnetic field : a proton is rotating in a 7.19 * 10^ -11 m radius circle with a frequency of 5 * 10 ^15 Hz, How large is the resultant magnetic field
Find infiltration rate assuming that entire crack admits air : A room in a single-story building has three 2.5 x 4 ft double-hung wood windows of average fit that are not weather-stripped. The wind is 23 mph and normal to the wall with negligible pressurization of the room.
Write a house class that has the following properties : Total number of rooms ( calculated: number of bedrooms + formal dining room if present + 1 for kitchen)Number of baths (house can have any number of 1/2 bath or 1/4 of a bath in addition to a full bath - example 1.5, 1.75 or 1.25 bath)

Reviews

Write a Review

Macroeconomics Questions & Answers

  Does the indifference curve intersect either axis

A consumer has preferences over goods x and y. The utility function is U=sqrtx + sqrty. The marginal utilities are MUx=1/(2sqrtx) and MUy=1/(sqrty). Calculate MRS and determine if it is diminishing for this utility function. Does the indifference ..

  How the program to impact the firms bottom line

Ford executives announced that the company would extend its most dramatic consumer incentive program in the company's long history-- the Ford Drive America Program. The program provides consumers with either cash back or zero percent financing for..

  Purpose for rising average variable cost

Describe why the following statement is true: It is possible for average variable cost (AVC) to rise while average total cost (ATC) declines.

  Elucidate how does fiscal policy impact your organization

Elucidate how does the fiscal policy impact your organization or a selected organization with which you are familiar. Provide two scenarios to show the impact.

  Determine the best number of firms to sell the secret to

A firm in a perfectly competitive market invents a new method of production that lowers its marginal costs. what happens to its output or what happens to the price it charges.

  Explain monthly payment of a smart business

An online store that has been successfully growing on its initial angel investment and revenues wants to invest $5 million to expand the business.

  Building a new factory in your town

An automobile company is building a new factory in your town. what may be a positive externality of this event?

  Define what is value of the greater openness

In 1995, the FED began announcing its interest rate targets immediately following each meeting of the FOMC. Prior to that, observers were left to draw inferences about Fed policy based on the results of that policy. What is value of this greater o..

  Calculate real gdp per capita in 2007 and 2008

What was the growth rate of the population between 2007 and 2008, round to the nearest percent Calculate real gdp per capita in 2007 and 2008. What was the growth rate of the real gdp capita between 2007 and 2008, round to the nearest percent

  Question about online bill payment

The Wall Street Journal reported that businesses are aggressively pushing customers to pay their bills electronically. Numerous banks dropped their monthly fee for online bill paying,

  Determine james and martin are in which condition

Assume that James owns a wheat farm that produces an annual crop of 500 bushels. His only choice is to store it in a nearby grain elevator owned by Martin, whose facility will be empty unless James is using it.

  Potential danger of maintaining rigid interest rate target

Those who advocate that the Federal Reserve target monetary aggregates usually argue that the Fed should not alter its monetary targets in response to temporary changes in macroeconomic conditions

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