Define measures that propose to prevent the recurrence, Financial Management

Assignment Help:

In an integrated world financial market, a financial crisis in a country can be rapidly transmitted to other countries, causing a global crisis. What kind of measures would you propose to prevent the recurrence of an Asia-type crisis.

Answer: Very first, there should be a multinational safety net to safeguard the world financial system from the Asia-type crisis. After that, international institutions such as IMF and the World Bank should monitor problematic countries much more closely and offer timely advice to those countries. Countries should be needed to fully disclose economic and financial information that is why devaluation surprises can be prevented. Third, countries should rely more on domestic savings and long-term foreign investments, as compared to short-term portfolio capital. There can be other suggestions.


Related Discussions:- Define measures that propose to prevent the recurrence

Two-for-one stock split, The equity accounts for Hexagon International are ...

The equity accounts for Hexagon International are as follows: a.    If Hexagon stock currently sells for $50 per share and a 20% stock dividend is declared, how many new s

Describe the dividend yield method, Q. Describe the Dividend Yield Method? ...

Q. Describe the Dividend Yield Method? Dividend Yield Method: - This process is based on the assumption that when an investor invests in the equity shares of a company he expec

Cost principle - accounting principle, Cost Principle - Accounting Principl...

Cost Principle - Accounting Principle According to this principle all the non-monetary assets of the business are display in the books of accounts at the historical cost that

Understand by the term government policy agenda, Question 1: Give an ac...

Question 1: Give an account of the role of governmental bodies and officials in the making of public policies. Question 2: What do you understand by the term "Governmen

Function of stock market, Functions of a Stock Exchange The stock excha...

Functions of a Stock Exchange The stock exchange is a market place where investors trade in securities. It is a competitive market involving large numbers of buyers and sellers

Securitization, Securitization -Source of financing whereby an entity's ASS...

Securitization -Source of financing whereby an entity's ASSETS (characteristically mortgage loans, lease obligations or other kinds of RECEIVABLES) are placed in a special purpose

Part 1: Contingency plan, Create contingency plans for the following scenar...

Create contingency plans for the following scenarios: • One of your highly qualified consultants has given three months notice and is planning to move to a competitor after this ti

Reinforced concrete design, Q. Reinforced concrete design? In BS8110 fo...

Q. Reinforced concrete design? In BS8110 for reinforced concrete design, it is stated that longer tension lap lengths have to be provided at the top of concrete members. The mo

Essentials of rating service, Critical investment decisions may be ta...

Critical investment decisions may be taken based on the ratings offered by the credit rating agency. In order to ensure that the rating leads to good investment d

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