Author Question: What are three things to measure for in evaluating the performance of the capital markets? A) ... (Read 19 times)

james0929

  • Hero Member
  • *****
  • Posts: 586
What are three things to measure for in evaluating the performance of the capital markets?
 
  A) level of intertemporal trade, international trade, portfolio diversification
  B) level of portfolio diversification, balanced capital accounts, global inflation
  C) level of portfolio diversification, intertemporal trade, efficiency of foreign exchange
  D) onshore-offshore interest rate parity, level of portfolio diversification, stability of eurocurrency market
  E) onshore-offshore interest rate parity, interest parity and foreign exchange, balanced capital accounts

Question 2

What is the theory of Second Best?
 
  What will be an ideal response?



cswans24

  • Sr. Member
  • ****
  • Posts: 317
Answer to Question 1

C

Answer to Question 2

The principal of the second best tells us that when an economy suffers from multiple distortions, the removal of only a few may make matters worse, not better.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Between 1999 and 2012, American adults with high total cholesterol decreased from 18.3% to 12.9%

Did you know?

Amphetamine poisoning can cause intravascular coagulation, circulatory collapse, rhabdomyolysis, ischemic colitis, acute psychosis, hyperthermia, respiratory distress syndrome, and pericarditis.

Did you know?

The Babylonians wrote numbers in a system that used 60 as the base value rather than the number 10. They did not have a symbol for "zero."

Did you know?

In 2010, opiate painkllers, such as morphine, OxyContin®, and Vicodin®, were tied to almost 60% of drug overdose deaths.

Did you know?

Walt Disney helped combat malaria by making an animated film in 1943 called The Winged Scourge. This short film starred the seven dwarfs and taught children that mosquitos transmit malaria, which is a very bad disease. It advocated the killing of mosquitos to stop the disease.

For a complete list of videos, visit our video library