A country recorded GDP of $400 million in 2020 and $460 million in 2021. If the inflation rate between the two years was 10 per cent, the approximate real growth rate was?
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- Based on 2023 GDP data (see below table), assuming the GDP growth rate stays the same for both the US (3%) and China (6%), how many years does it take for the GDP of China to surpass that of the US? Rank Name GDP 1 2 United States $20.89 Trillion China. $14.86 TrillionMalaysia’s inflation is expected to be 1.25% and Thailand’s inflation is expected to be 0.95% next year.Given the spot value of Thai baht (THB) is MYR0.1320, compute the real value of THB for next year.Suppose that in 2020, the rate of inflation in Denmark was 0.6%, and the rate of inflation in the Euro area was 2.2%. If the Euro depreciated relative to the Danish Krone by 0.75% in the same year, what would be the magnitude of the movement of the real exchange rate (RER) of the Euro relative to the Danish Krone? Euro appreciated in real terms by 2.35 percent. Euro depreciated in real terms by 2.30 percent. Euro appreciated in real terms by 100.83 percent. O d. Euro appreciated in real terms by 0.83 percent. O c.
- Based solely on purchasing power parity (PPP), calculate the expected one-year inflation rate in the U.S. if the Canadian inflation rate is expected to be 3.5% next year and the one-year forward rate if a Canadian dollar is USD$.75/ CAD$1.Suppose annual inflation rates in the U.S. and Mexico are expected to be 6% and 80%, respectively, over the next several years. If the current spot rate for the Mexican peso is $.005, then the best estimate of the peso's spot value in 3 years is a.$.01190 b.$.00276 c.$.00321 d.$.0010215. The real rate of return in Sudan was expected to be 4% and inflation there was 82.4% in 2020. What was the nominal rate in that nation? a. 91.10% b. 88.55% c. 89.70% d. 90.18%
- Assume that the Ghanaian inflation rate is expected to average about 9% annually, while the Nigerian inflation rate is expected to average about 4% per annum. If the current spot rate between the naira and cedi is N140/GHC, what is the expected spot rate between the two currencies in two years? Assume PPP hold?Suppose annual inflation rates in the U.S. and Mexico are expected to be 6.5% and 75%, respectively, over the next several years. If the current spot rate for the Mexican peso is $0.05, then the best estimate of the peso's spot value in 3 years is a . $.01190 b . $0.0113 c . $.00321 d . $.00276Assume that Ghanaian inflation rate is expected to average about 9% annually, while the Nigerian inflation rate is expected to average about 4% per annum. If the current spot rate between the naira and the cedi is N140/GHC, what is the expected spot rate between the two currencies in two years? Assume PPP holds?
- What would be the expected foreign exchange rate in a year from now if the current exchange rate is 68.76 RUR/EUR, and expected annual inflation is 3.5% in Russia and 0.7% in the EMU?Suppose the U.S. T-bills is 4.76% annually and the U.S. inflation rate is 3.52% annually. If the shor-term Australian government securities is 6.98% per year, what is the inflation rate in Australia. Please use the approximate (not exact form) international Fisher effect for this question ?Suppose that the US price index is 100.0 in 1985 and 216.4 in 2015 (30 years). What is the average annual rate of inflation from 1985 and 2015 in the US? 2.61% 116.4% 16.4% 1.64% None of the above