Question

In: Finance

Explain what the World Bank and the IMF are and the goals of both. What are...

Explain what the World Bank and the IMF are and the goals of both.

What are a fixed exchange rate and a floating exchange rate?

Solutions

Expert Solution

World bank which is headquartered in Washington DC is an international financial institution aims at the development of the world economy by focussing on the economic upliftment of poorer countries. They provide loans and grants for underdeveloped countries and their government for capital and infrastructure projects. It comprises of 2 institutions, they are IBRD and IDA. Top priority goal of World bank is reduction of poverty through developments.

IMF or International Monetary Fund is an agency headquartered in Washington, is a association of 189 countries intended for the global cooperation in monetary terms by facilitating interenational trades, sustainable economic growth, increase emloyement, poverty reduction etc. It depend World Bank periodically for its resources. Countries contribute to IMF through quota system and the countries facing struggle especially in Balance of payments can request for financial assistance. Main aim is to foster growth and create economic stability.

Fixed exchange rate: In Fixed exchange rate, the currency value of one country is fixed to a constant rate in terms of other currency or other assets like Gold. eg: Hong Kong dollar is pegged to USD

Floating exchange rate: Currency value of one country is allowed to fluctuate in response to international market events. eg: Indian Rupee is floating

jeff jeffy answered 1 year ago
Next > < Previous

Related Solutions

Explain what the World Bank and the IMF are and the goals of both. Please explain...
Explain what the World Bank and the IMF are and the goals of both. Please explain in extensive detail and provide a thorough example so I may understand it thoroughly.
1) Explain what the World Bank and the IMF are and the goals of both. 2)...
1) Explain what the World Bank and the IMF are and the goals of both. 2) What are a fixed exchange rate and a floating exchange rate? 3) If the U.S. Federal Reserve Bank increases the money supply, what happens to the value of the U.S. dollar and the exchange rate? 4) If the U.S. government increases the deficit and Federal Debt, what happens to the value of the U.S. dollar? 5) When did the U.S. go off of the...
1) Explain what the world bank and the IMF are and the goals of both? 2)...
1) Explain what the world bank and the IMF are and the goals of both? 2) What are a fixed exchange rate and a floating exchange rate? 3) If the US Federal Reserve Bank increases the money supply, what happens to the value of the US dollar and the exchange rate? 4) If the US government increases the deflect and the Federal Debt, what happens to the value of the US dollar? 5) When did the US go off of...
1) What are the Goals of the World Bank and the IMF? Why are some people...
1) What are the Goals of the World Bank and the IMF? Why are some people upset and protesting about the World Bank and IMF? (15 points) 2) Give the pros and cons of Flash Trading and Dark Pools. How and should the U.S. government regulate them? (15 points) 3) Due to the recent Brexit vote, the British pound and Euro have both depreciated relative to the dollar, how does this impact exports and imports, AD and GDP? What should...
What are the Goals of the World Bank and the IMF? Why are some people upset...
What are the Goals of the World Bank and the IMF? Why are some people upset and protesting about the World Bank and IMF? (15 points)
1) What are the Goals of the World Bank and the IMF? Why are some people...
1) What are the Goals of the World Bank and the IMF? Why are some people upset and protesting about the World Bank and IMF? 2) Give the pros and cons of Flash Trading and Dark Pools. How and should the U.S. government regulate them? 3) If the British pound and Euro are both appreciating relative to the dollar, how does this impact exports and imports, AD and GDP? What should the Fed. due to respond? 4) What happens to...
1) What are the Goals of the World Bank and the IMF? Why are some people...
1) What are the Goals of the World Bank and the IMF? Why are some people upset and protesting about the World Bank and IMF? 2) Give the pros and cons of Flash Trading and Dark Pools. How and should the U.S. government regulate them? 3) Due to the potential Brexit vote, the British pound and Euro are both depreciating relative to the dollar, how does this impact exports and imports, AD and GDP? What should the Fed. due to...
What are the main similarities and differences between the IMF and the World Bank?
What are the main similarities and differences between the IMF and the World Bank?
What is the relationship between the IMF, The World BAnk, and the Latin American elites in...
What is the relationship between the IMF, The World BAnk, and the Latin American elites in relation to privatization of State enterprises in Latin America?
GAAT, WTO, IMF, WORLD BANK. In what ways are they similar? In what ways are they...
GAAT, WTO, IMF, WORLD BANK. In what ways are they similar? In what ways are they different?                                                                                                                             
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT