Question

For Export Marketing Plan Project, explain in details the following about the country of Montenegro

1. Distribution of Wealth:

I. Personal income per capita

II. Average family income

III. Income classes

IV. Proportion of the population in each class

2. Exchange Rates

I. Single or multiple exchange rates?

II. Current rate of exchange

III. Trends

3. Inflation rates

4. International Trade Statistics

I. Major exports: dollar value and trends

II. Major imports: dollar value and trends

Answer 1

Answer:-Distribution of Wealth:-The distribution of wealth differs from the income distribution in that it looks at the economic distribution of ownership of the assets in a society, rather than the current income of members of that society. According to the International Association for Research in Income and Wealth, "the world distribution of wealth is much more unequal than that of income.

i)  Personal income per capita:-The per capita personal income of the United States is the income that is received by persons from all sources. ... This measure of income is calculated as the personal income of the residents of a given area divided by the resident population of the area.

ii)Average family income :-average monthly income in Indian households 2015. According to a survey conducted in 2015 across India, over 60 percent of the surveyed households had an average monthly income up to 10,000 Indian rupees.

III. Income classes:-This lived experience can make it difficult to determine your income-class status. In a report for the Urban Institute entitled “The Growing Size and Incomes of the Upper Middle Class,” nonresident fellow Stephen Rose writes that;

IV. Proportion of the population in each class:-The standard of living in India varies from state to state. In 2019, the poverty line reduced further to about 2.7% and India no longer holds the position of the nation with the largest population under poverty. The Indian middle class constitutes 300–350 million of the population. ... However, a rural middle class is now emerging in India, with some rural areas .

2. Exchange Rates:-In economics, a dual exchange rate is the occurrence of two different values of a currency for different sets of monetary transactions.

I. Single or multiple exchange rates:-With this type of system, a country has more than one rate at which its currency is exchanged. So, unlike a fixed or floating system, the dual and multiple systems consist of different rates, fixed and floating, that are used for the same currency during the same period of time.

II. Current rate of exchange:-Current international exchange rates are determined by a managed floating exchange rate. A managed floating exchange rate means that each currency's value is affected by the economic actions of its government or central bank. ... The gold standard controlled international exchange rates until the 1910s.

III. Trends:-A trend is a general direction into which something is changing, developing, or veering toward. The term may also mean a fashion or craze, i.e., a fad. The verb 'to trend' means to develop or change in a general direction.

3. Inflation rates:-

• nflation is the rate at which the general level of prices for goods and services is rising and, consequently, the purchasing power of currency is falling.
• Inflation is classified into three types: Demand-Pull inflation, Cost-Push inflation, and Built-In inflation.

4. International Trade Statistics:-Firms scanning the world market for opportunities to diversify products, markets and suppliers, and trade support institutions (TSIs) setting priorities in terms of trade promotion, sectoral performance, partner countries and trade development strategies must have detailed statistical information on international trade flows in order to utilize resources effectively.