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

Author Question: If a country has a large deficit in its current account A) it has a large surplus in its ... (Read 92 times)

Melani1276

  • Hero Member
  • *****
  • Posts: 516
If a country has a large deficit in its current account
 
  A) it has a large surplus in its financial account.
  B) it exports more than it imports.
  C) it is a net creditor to the rest of the world.
  D) None of the above are necessarily true.

Question 2

In order to protect against foreign exchange risk, firms can use
 
  A) the spot market for foreign exchange.
  B) interest rate arbitrage.
  C) purchasing power parity.
  D) the forward market for foreign exchange.
  E) the J-curve.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bobsmith

  • Sr. Member
  • ****
  • Posts: 316
Answer to Question 1

A

Answer to Question 2

D




Melani1276

  • Member
  • Posts: 516
Reply 2 on: Jun 30, 2018
:D TYSM


smrtceo

  • Member
  • Posts: 344
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

Vampire bats have a natural anticoagulant in their saliva that permits continuous bleeding after they painlessly open a wound with their incisors. This capillary blood does not cause any significant blood loss to their victims.

Did you know?

Eating carrots will improve your eyesight. Carrots are high in vitamin A (retinol), which is essential for good vision. It can also be found in milk, cheese, egg yolks, and liver.

Did you know?

Children with strabismus (crossed eyes) can be treated. They are not able to outgrow this condition on their own, but with help, it can be more easily corrected at a younger age. It is important for infants to have eye examinations as early as possible in their development and then another at age 2 years.

Did you know?

The first-known contraceptive was crocodile dung, used in Egypt in 2000 BC. Condoms were also reportedly used, made of animal bladders or intestines.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

For a complete list of videos, visit our video library