Balance of trade
Which transactions find out the balance of trade? When the balance of trade is in surplus?
Expert
Exports of goods and imports of goods find out BOT. Whenever the value of exports of goods is bigger than the value of imports of goods.
Flexible exchange rate: The rate of exchange in terms of other currencies is determined by market forces of demand-supply.
State which kind of exchange rate has no official intervention in foreign exchange market? How it is recognized?
Components of capital account of balance of payment: A) Borrowing and lending to and from abroad.B) Change in foreign exchange reserves C) Investment to and from abroad.
Assume that many people are willing and capable to pay greater than production costs for certain goods however pervasive shortages exist. International agreements or domestic laws and policy are most likely key factors if we consider sustained scarcities in ma
Fixed exchange rate system (or pegged exchange rate system): This is a system in which exchange rate of a currency is fixed by government. This system makes sure stability in the foreign trade and capital movement.
Describe the two sources of supply of foreign exchange: The two sources of supply of foreign exchange are: Exports and foreign tourism.
If the Chinese economy could create all goods with fewer resources per unit than are needed in US, the citizens of China would: (i) Encompass a comparative advantage in the whole thing. (ii) Be self-sufficient since there would be no potential profits from trade. (iii
Differentiate among current account and capital account of balance of payment account. State any two transactions of capital account. Answer: Q : Components of current account of BOP Components of current account of BOP account: (A) Import-Export of goods(B) Import-Export of services(C) Unilateral transfers
Components of current account of BOP account: (A) Import-Export of goods(B) Import-Export of services(C) Unilateral transfers
Question 1: The financial crisis that hit the United States first and then the world economy starting in fall 2007 meant that the future prospects of many firms looked gloomy at best for some time. Comment on the e
18,76,764
1924699 Asked
3,689
Active Tutors
1431608
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!