1) Why is the U.S. Dollar the World currency? 2) Why does the world not adopt...

1) Why is the U.S. Dollar the World currency?

2) Why does the world not adopt the yen, euro, or rubal?

3) What is the balance of payments?

Expert Solution

Rahul Sunny answered 2 years ago

1) Why is the U.S. Dollar the World currency? 2) Why does the world not adopt...

1) Why is the U.S. Dollar the World currency? 2) Why does the world not adopt the yen, euro, or rubal? 3) What is the balance of payments?

Why does most interbank currency trading worldwide involve the U.S. dollar? Explain in detail and provide...

Why does most interbank currency trading worldwide involve the U.S. dollar? Explain in detail and provide an example. How have the current financial problems in the U.S. affected interbank trading, if any?

The U.S. Dollar has been the benchmark world currency for many decades. Do you believe the...

The U.S. Dollar has been the benchmark world currency for many decades. Do you believe the dollar will still be the benckmark currency 30 years from now?

1. Depict Two currency markets graphs: the Japanese Yen and the U.S. Dollar, setting up the...

1. Depict Two currency markets graphs: the Japanese Yen and the U.S. Dollar, setting up the two markets in initial equilibrium. Next to the supply curve and the demand curve state who is on the supply curve in each market and who is on the demand curve in each market. 2. Assume there is an increased preference among U.S. consumers for Japanese electronic goods because of a perceived superior quality. Copy number 1 graphs and reflecting this change. MAKE THEM...

Saudi Arabia fixes their currency, the Riyal, to the U.S. dollar at a rate of $0.27....

Saudi Arabia fixes their currency, the Riyal, to the U.S. dollar at a rate of $0.27. Suppose the value of the Riyal in the absence of government intervention is $0.25. a. Explain how Saudi Arabia would fix the value of the Riyal using exchange rate controls. b. Explain how Saudi Arabia would fix the value of the Riyal using interest rate policy.

What impact did the U.S. presidential election have on the U.S. dollar and the currency markets/exchange...

What impact did the U.S. presidential election have on the U.S. dollar and the currency markets/exchange rates and why?

International Finance (10) 1. What does it mean for the U.S. dollar to be “strong” or...

International Finance (10) 1. What does it mean for the U.S. dollar to be “strong” or “weak”? 2. Who gains and who loses from a weak or a strong dollar and why? Is it better for a country to have a weak or a strong dollar?

Newberry, Inc., whose reporting currency is the U.S. dollar ($), has a subsidiary in Argentina, whose...

Newberry, Inc., whose reporting currency is the U.S. dollar ($), has a subsidiary in Argentina, whose functional currency also is the $. The subsidiary acquires inventory on credit on November 1, 2017, for 180,000 pesos that is sold on January 17, 2018, for 214,000 pesos. The subsidiary pays for the inventory on January 31, 2018. Currency exchange rates are as follows: November 1, 2017 $ 0.64 = 1 peso December 31, 2017 0.65 = 1 January 17, 2018 0.66 =...

In the following table, provide exchange rates between The Netherlands currency and the U.S. dollar (US$)....

In the following table, provide exchange rates between The Netherlands currency and the U.S. dollar (US$). Please use indirect quote (for example: US$1 = CF900). This information can be found through internet data research. Table 1. Netherlands’ exchange rates* Years Exchange rates % change 2008 N/A 2009 2010 2011 2012 2013 2014 2015 2016 2017 * Provide the exchange rates for the last business day of each year In five to seven sentences, discuss what the data tells...

Argentina’s peso was linked to the U.S. dollar through a currency board for ten years before...

Argentina’s peso was linked to the U.S. dollar through a currency board for ten years before it was cut loose. Why did Argentina peg its currency to the dollar in the first place? Then Briefly discuss Argentina’s Peso Crisis

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1) Why is the U.S. Dollar the World currency? 2) Why does the world not adopt...

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1) Why is the U.S. Dollar the World currency? 2) Why does the world not adopt...

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The U.S. Dollar has been the benchmark world currency for many decades. Do you believe the...

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