Are international capital flows a problem, Business Economics

Assignment Help:

Are international capital flows a problem?

Problem: Capital flows can have an adverse outcome onto:

a. Balance of payments (BoP): Shortly term capital inflows can be like:

• Foreign direct investment

• Short term loans

b. Exchange rates: In the demonstrate figure opposite FDI by British investors into Belize sees an increase into the demand for the Belize dollar resulting within an appreciation of which currency

1063_International capital flows.png

c. Domestic prices and competitiveness inflows lead to an appreciation of the currency creating imports cheaper and also exports dearer. Unemployment might follow.


Related Discussions:- Are international capital flows a problem

.EXTERNAL ENVIRONMENTAL analysis, Explain for each of the sub-variables the...

Explain for each of the sub-variables the positive or negative implications the environmental factor could have on the cereal category in economis aspects

Economics of Sport, Assume there are two teams in the league: Los Angeles ...

Assume there are two teams in the league: Los Angeles and Sacramento. Because it is a much larger metropolitan area, the revenue generated at any given winning percentage is hi

Monopoly union model, Problem 1: (a) In what specific ways does Becker'...

Problem 1: (a) In what specific ways does Becker's model of the allocation of time differ from the simple work-leisure choice model? (b) Compare and contrast the functioning

Price elasticity of demand, explain why each of the following factors influ...

explain why each of the following factors influence the own price elasticity of demand for a comodity 1. Consumer preferences 2. the narrowness of definiton of the commodity

Elasticity of demand, Explain the elasticity of price expectations?

Explain the elasticity of price expectations?

General theory of employment , The word of Keynesian -styles A Keynesian co...

The word of Keynesian -styles A Keynesian come about the rules creators on purpose look for to motivate additional than one of the modules of aggregate demand to improvement numbe

Online stock trading company, An online stock trading company makes part of...

An online stock trading company makes part of their revenue from clients when the clients trade stocks therefore, it is important to the company to have a good idea of how many tra

Arbitrage pricing theory, Question: (a) Assume that a market is in equi...

Question: (a) Assume that a market is in equilibrium and all investors agree that the return on any diversified portfolio P is equal to R P = a p + b p 1 F 1 + bp 2 F 2

What are the implications of environment in economic growth, What are the i...

What are the implications of Environment in Economic Growth? Implications of Environment in Economic Growth: Only government can suppose liability for protecting natural res

How the producer may raise his total revenue, (a) Using the basic concept ...

(a) Using the basic concept of price elasticity of demand for his product, describe how the producer may raise his total revenue. (b) With reference to an initial set of marke

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