1a. Empirical evidence regarding the effects of currency
devaluation on the balance of trade indicates that
a.
currency devaluations always improve the trade balance in the
short run.
b.
complete exchange-rate pass-through generally occurs.
c.
partial exchange-rate pass-through generally occurs.
d.
currency devaluations always worsen the trade balance in the
long run.
1b. By decreasing the relative production costs of U.S.
companies, a dollar appreciation tends to lower U.S. export prices
in foreign-currency terms, which induces an increase in the...
Before 2008, the International Monetary Fund was focused on
developing countries with balance of payment problems. However,
after 2008, it has completely change its policy. Describe and
discuss this new policy. Is it effective? Give at least 5 examples.
200 words minimum
in
the U.S. balance of payments, as well as balance of payments of
other countries with a high outflow of unilateral transfers,
unilateral transfers are recorded as_____?
In 200 words, discuss the effect of currency devaluation and
revaluation and its effects on Multinational corporations. How can
multinational corporations cope with these changes that are rapidly
evolving in a highly challenging market environment?
Discuss how international balance of payments impacts currency
exchange rate.
As you introduce this topic with your initial posting, please
also select a partner country to the U.S. and include a paragraph
about the status of the balance of payments and what it means.
Some countries, many being developing countries, peg
their currency to the US dollar. What effect does a rapid
appreciation or devaluation of the dollar have on those
countries?Some countries, many being developing countries, peg
their currency to the US dollar. What effect does a rapid
appreciation or devaluation of the dollar have on those
countries?