This topic contains a solution. Click here to go to the answer

Author Question: If the 12-month interest rates for the United States and the United Kingdom are 6 and equal, and 1 = ... (Read 116 times)

maegan_martin

  • Hero Member
  • *****
  • Posts: 532
If the 12-month interest rates for the United States and the United Kingdom are 6 and equal, and 1 = 2 in the spot market, then what do you expect the 12-month forward rate to be?
 
  A) 2.10
  B) 1.90
  C) 2.00
  D) 2.11

Question 2

If Australia has more land per worker, and Belgium has more capital per worker,then if trade began between these two countries
 
  A) the real income of landowners in Belgium would decline.
  B) the real income of capital owners in Australia would increase.
  C) the real income of labor in Australia would decline.
  D) the real income of labor in Belgium would decline.
  E) the real income of labor in both countries would decline.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

mmpiza

  • Sr. Member
  • ****
  • Posts: 354
Answer to Question 1

C

Answer to Question 2

A





 

Did you know?

In the United States, there is a birth every 8 seconds, according to the U.S. Census Bureau's Population Clock.

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

Did you know?

Russia has the highest death rate from cardiovascular disease followed by the Ukraine, Romania, Hungary, and Poland.

Did you know?

Most fungi that pathogenically affect humans live in soil. If a person is not healthy, has an open wound, or is immunocompromised, a fungal infection can be very aggressive.

Did you know?

Your skin wrinkles if you stay in the bathtub a long time because the outermost layer of skin (which consists of dead keratin) swells when it absorbs water. It is tightly attached to the skin below it, so it compensates for the increased area by wrinkling. This happens to the hands and feet because they have the thickest layer of dead keratin cells.

For a complete list of videos, visit our video library