4. When a currency is undervalued, it is undervalued relative to what the describer believes PPP to be. O True False

Please help me with this macroeconomic question 4!

Suppose the balance on the financial account is-$300 bion and the belance on the capital account is $5 billion. The size of the current account is Multiple Choice $295 bon O S295 bilon O $305 bilon. $5 bilon

If U.S. net exports are negative, then net capital outflow is   A.  negative, so American assets bought by foreigners are greater than foreign assets bought by Americans. B.  positive, so foreign assets bought by Americans are greater than American assets bought by foreigners. C.  positive, so American assets bought by foreigners are greater than foreign assets bought by Americans. D.  negative, so foreign assets bought by Americans are greater than American assets bought by foreigners.

The value of the U.S. dollar typically increases when the (select all that apply)   A. global economy is strong.   B. U.S. economy is strong.   C. global economy is weak.   D. U.S. economy is weak.

Which of the following is NOT one of Mundell's four characteristics for an optimal currency area? Select one: O a. Capital mobility O b. Central bank mobility O C. Labor mobility O d. Coordinated fiscal policies

Don't answer by pen paper and don't use chatgpt otherwise we will give dounvote

At the end of 2021 , the Federal Reserve took an inventory of its foreign currency reserves. Since the previous year, the following had change Currency Yen (+1-) Change (millions) -26.17 -22.80 Yuan US Dollars 47.57 92.04 Rupees Riyals Pesos 85.61 38.33 Shekels |-30.87 How much did NCO change during this time period? Round to two (2) decimal places

6. In the exchange rate model in Example 7.2, supposethe company continues to manufacture its product inthe United States, but now it sells its product in theUnited States, the United Kingdom, and possibly othercountries. The company can independently set its pricein each country where it sells. For example, the pricecould be $150 in the United States and £110 in theUnited Kingdom. You can assume that the demandfunction in each country is of the constant elasticityform, each with its own parameters. The question iswhether the company can use Solver independently ineach country to find the optimal price in this country.(You should be able to answer this question withoutactually running any Solver model(s), but you mightwant to experiment, just to verify your reasoning.)

Using th equilibri of the money market and the purchasing power parity What ha if the GDP of the home country (H) decreases? а. The money supply goes up O b. The money supply goes down The exchange rate (EH/F) goes up The exchange rate (EH/F) goes down None of the above е.