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Q. What are the reasons for the world as a whole running a substantial current account deficit?
Answer: This deficit improved sharply in the early 1980s and has remained high. The major reasons are statistical discrepancies of timing factors, national accounts while the major factor is the systematic misreporting of international interest income flows. Ever since the world interest rates raised sharply after 1980 the size of the world interest payment discrepancy increased with them. Additionally much of the world's merchant shipping fleet is registered in countries that don't report maritime freight earnings to the IMF which collects these data.
Question : (a) What are the rationales for interest and currency swaps? (b) Suppose a Swiss firm, SandyCom Ltd, wants to invest in the U.S. The Swiss firm needs US dollars
How can we Rise of intraindustry trade
#question.explain me Hecksher OHLIN theory of international trade in simple english
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Q. Describe alternative forms of capital inflow to finance external deficits and explain why these methods were used in different times? Answer: The capital inflows to facili
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Q. One reason international trade has a powerful effect on the distribution of income within countries is that some factors are "specific", and therefore cannot move costlessly fr
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Q. How A Central Bank Fixes the Exchange Rate? Answer: The Central bank should always be willing to trade currencies at the fixed exchange rate with the private actors in the f
is general equilibrum in trade
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