Start Discovering Solved Questions and Your Course Assignments
TextBooks Included
Active Tutors
Asked Questions
Answered Questions
Navigating common ethical dilemmas, from Management Tips with Todd Dewett
Explain different operations strategies in case of location choice for existing organization.
An investment manager hedges a portfolio of Bunds (German government bonds) with a six-month forward contract.
What is the value of a three-month PHLX call option on the Japanese yen at a strike price of $0.0099/¥?
Impose import restrictions on most products to preserve the domestic market for local manufacturers and thereby increase national income.
Has it increased or decreased over the past year? Which factors caused this change?
The $/€ exchange rate is €1 = $1.45, and the €/SFr exchange rate is SFr 1 = €0.71. What is the SFr/$ exchange rate?
Suppose that the pension fund had been charged at the midpoint for its trade. What would its saving have been?
An investor wishes to buy euros spot (at $1.3908) and sell euros forward for 180 days (at $1.3996).
Suppose Dow Chemical receives quotes of $0.009369–71 for the yen and $0.03675–6 for the Taiwan dollar (NT$).
What was the volume of forward contracts traded in the past year? You can use data from the BIS Annual Report to answer this question.
A forward market already existed, so why was it necessary to establish currency futures and currency options contracts?
China’s domestic investment rate, at 43%, is also high, but not as high as its saving rate. What do these facts imply about China’s current-account balance?
During the 1990s, Mexico and Argentina went from economic pariahs with huge foreign debts to countries posting strong economic growth and welcoming foreign.
In the early 1990s, Japan underwent a recession that brought about a prolonged slump in consumer spending and capital investment.
To what extent would you attribute the changes in the U.S. current-account balance to an increase in the U.S. government budget deficit?
What is the current-account balance, the financialaccount balance, the capital-account balance, and the official reserves balance?
What caused the Zim dollar to be so overvalued? What effect does an overvalued official rate have on businesses and consumers in Zimbabwe?
What can we learn about economic development and political risk from the contrasting experiences of East and West Germany.
For decades, efforts to end world poverty have focused on redistributing wealth, rather than creating it.
What is the net impact of this sale on the U.S. current account, financial account, and overall balance of payments for 2010?
What proposals have been made by the IMF to reduce the incidence and severity of international financial crises?
What is the value to the United States of the seignorage associated with these overseas dollars? Assume that dollar interest rates are about 6%.
Panama adopted the U.S. dollar as its official paper money in 1904. Currently, $400 million to $500 million in U.S. dollars is circulating in Panama.
What was the original U.S. dollar value of the Zim dollar? What is the new U.S. dollar value of the Zim dollar?