The World Bank is a financial institution that regulates the exchange rate for international currencies.   A. True B. False

Q: What are the main benefits and costs of adopting a single currency and should Turkey adopt a single…

A: When a group of countries combines their currencies to form a common currency, it is known as a…

Q: Consider the following: Country Jeans Corn (Pairs per hour of labor) (Bushels per hour of labor)…

A: Firms are producing goods and services which it has comparative advantage; price is set the range…

Q: The graph shows the demand curve for U.S. dollars. Draw a new demand curve that shows the effect of…

A: The relationship between the cost of an item or service and the quantity demanded over a specific…

Q: Why do currencies float? What causes currencies to appreciate? And what causes currencies to…

A: Currency is defined as anything that is widely accepted to have value as a medium of exchange for…

Q: What are foreign exchange markets? Why does the State Bank of Vietnam intervene in the foreign…

A: When economies are open to trade, they interact in international market at a specific exchange rate.

Q: Other things the same, if the exchange rate changes from .8 euros per dollar to .9 euros per dollar,…

A: Exchange Rate: The exchange rate can be computed in two ways: by (a) government intervention and (b)…

Q: What is one of the ways governments can influence exchange rates?

A: the government uses the exchange rate tool to achieve multiple objectives such as full employments,…

Q: 2 It is often believed that the value of the currency of some countries are too low, which gives the…

A: Exchange rate: It can be defined as the rate at which the value of the domestic countries currency…

Q: How foreign exchange facilitate the balance of trade Payment. Give an example

A: The term "balance of trade" describes the value differential over time between a nation's imports…

Q: Differentiate between foreign exchange and the foreign exchange rate.

A: Foreign exchange refers to the process of converting one currency into another currency for various…

Q: Briefly explain the following translation methods: i. Translating from foreign to functional…

A: Currency translation: Currency translation is the process of converting one currency in terms of…

Q: In this system, there is no government intervention that will affect the exchange rates. a. Managed…

A: The rate at which one currency can be exchanged for another currency is known as an exchange rate.

Q: If the value of the US dollar appreciates, then US exports will tend to __ and US imports will tend…

A: Appreciation of the currency means that the value of currency has increased as compared to other…

Q: Please explain flexible and fixed exchange rates. Show ways to maintain a strong or a weak currency

A: Flexible exchange rate A flexible exchange rate, also known as a floating exchange rate, fluctuates…

Q: How can exchange-rate targets lead to a speculativeattack on a currency?

A: The exchange rate targeting is the method by which a central bank intervenes in the market in order…

Q: Describe the foreign exchange market and its components.

A: Foreign exchange market- it is a market, which is also known as forex and currency market. It is a…

Q: Why is it necessary to know the process and policies foreign exchange rate?

A: In International trade, exchange rate is defined as the rate at which the currency of one country…

Q: Find the value of balance of trade when the value of exports are $16 and value of imports are $11?

A: As per the question, Value of Exports are = $16 Value of the imports = $11 Balance of trade = ?

Q: Find out any three saarc countries and find out their nominal exchange rate?

A: South Asian Association for Regional Cooperation (SAARC)  It is an intergovernmental organization…

Q: Why is exchange rate important in International Finance? Can we get rid of Exchange rate in…

A: A. The value of the currency of one nation in terms of the currency of another nation is known as…

Q: if US citizen decides to consume less and save more, then the foreign-exchange price of the dollar…

A: Exchange rate is the rate at which the nation's currencies are exchanged.  And it is determined at…

Q: Who are the main participants in the foreign exchange markets? What is the role/interest of each?

A: The foreign exchange market, sometimes called the FX market or the forex market, is a worldwide…

Q: what are foreign exchange markets and what is their most important function and its performance

A: foreign exchange markets The foreign exchange market is a market in which there will be a continuous…

Q: Q. Find any three saarc countries, Calculate effective exchange rate too.

A: South Asian Association for Regional Cooperation (SAARC)  founded in 1985.  Effective exchange rate…

Q: when a domestic investor buys a foreign asset, the financial account would rise, stay the same or…

A: When a domestic investor buys a foreign asset ,  the financial account status can be explained as…

Q: How value of exchange rate is being determined under different exchange rate systems?

A: The rate that is being depicted by the value of one currency being measured in terms of another…

Q: What do you mean by balance of trade?

A: There must always be a systematic record of all the transactions which are taking place between the…