--%>

Explain all the approaches of Paul Samuelson

Explain all the approaches of Paul Samuelson.

E

Expert

Verified

His approach to derivative pricing was through expectations, real as opposed to a lot later risk-neutral ones.

   Related Questions in International Economics

  • Q : Manegment . In 2007 and 2008 Boeing ran

    . In 2007 and 2008 Boeing ran into several publicized issues with regard to its management of a globally dispersed supply chain. What are the causes of these problems? What can a company such as Boeing do to make sure such problems do not occur in the future?

  • Q : Who rediscovered Bachelier’s thesis Who

    Who rediscovered Bachelier’s thesis?

  • Q : What is autonomous or public investment

    Autonomous or public investment: It is a type of investment that is not of profit motivated.

  • Q : Define Managed floating rate system

    Managed floating rate system: This is a system in which foreign exchange rate is found out by market forces and central bank is a key contributor to stabilize the currency in condition of tremendous appreciation or depreciation.

  • Q : Supply of foreign exchange Explain how

    Explain how foreign exchange rate is determined beneath flexible exchange rate system. Beneath flexible exchange rate system, the equilibrium exchange rate is found out where demand for foreign exchange is equival

  • Q : How is the exchange rate influenced by

    ‘The country has a floating exchange rate and its inflation rate is much higher than its trading partners. Why we would suppose the country’s exchange rate to deflate?’

  • Q : Equilibrium price of grape jelly problem

    Peanut butter, jelly sandwiches and tuna fish sandwiches are replacements. Assume an international agreement decreased the worldwide catch of tuna by half. The equilibrium price of grape jelly would be: (1) Increases while the equilibrium quantity is reduced. (2) Drop

  • Q : Calculating value of imports Calculate

    Calculate the value of imports, if the net imports are of Rs 160 crores and the value of exports are of Rs 400 crores.

  • Q : Techniques what are the techniques of

    what are the techniques of balance of payment?

  • Q : What is Flexible exchange rate system

    Flexible (or floating) exchange rate system: This is a system in which exchange rate is found out by forces of demand and supply of the foreign currencies concerned in the foreign exchange market. There is no official interference in the foreign excha