This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The difference between a Euroloan interest rate and Eurodeposit interest rate is called A) net ... (Read 34 times)

abc

  • Hero Member
  • *****
  • Posts: 543
on: Jun 30, 2018
The difference between a Euroloan interest rate and Eurodeposit interest rate is called
 
  A) net interest rate.
  B) the forward premium.
  C) net profit rate.
  D) the spread.

Question 2

Does the existence of non-tradable goods allow for deviations from Purchasing power Parity?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

cuttiesgirl16

  • Sr. Member
  • ****
  • Posts: 345
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

Yes, the existence of nontradables allows deviations from PPP. This is because the price of a nontradable is determined entirely by its domestic supply and demand curves, and in turn fluctuations in demand and supply for these good will affect the price level. Examples include housing, haircut, services etc.


abc

  • Member
  • Posts: 543
Reply 2 on: Jun 30, 2018
Gracias!

bitingbit

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

The strongest synthetic topical retinoid drug available, tazarotene, is used to treat sun-damaged skin, acne, and psoriasis.

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

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?

The first successful kidney transplant was performed in 1954 and occurred in Boston. A kidney from an identical twin was transplanted into his dying brother's body and was not rejected because it did not appear foreign to his body.

Rate enhancement by entropy reduction Rate enhancement by entropy reduction
Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ... Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ...
The nucleus is bounded by a double membrane called the nuclear envelope The nucleus is bounded by a double membrane called the nuclear envelope
Sheridan Motors is a car dealership that would like to investigate if there is a difference in ... Sheridan Motors is a car dealership that would like to investigate if there is a difference in ...
Find the proceeds of the following promissory note. A five-year, $4500.00 note bearing interest ... Find the proceeds of the following promissory note. A five-year, $4500.00 note bearing interest ...
Compound interest Compound interest
Video: Bone tissue types - compact and spongy

For a complete list of videos, visit our video library