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

Author Question: The EU currently is a preferential trade agreement with no governmental institutions. Indicate ... (Read 116 times)

chandani

  • Hero Member
  • *****
  • Posts: 541
on: Jun 30, 2018
The EU currently is a preferential trade agreement with no governmental institutions.
 
  Indicate whether the statement is true or false

Question 2

Empirical studies find that exchange rates are much more variable than inflation differentials. How can we explain this empirical result?
 
  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

kalskdjl1212

  • Sr. Member
  • ****
  • Posts: 353
Reply #1 on: Jun 30, 2018
Answer to Question 1

FALSE
Explanation: Indeed, it, more than any other similar agreement, has developed a complete government with three branches.

Answer to Question 2

Financial markets adjust faster than goods market. Therefore, for any exogenous shock or news, we expect exchange rates to change faster than prices. Thus the differential speed of adjustment makes exchange rates much more variable.


chandani

  • Member
  • Posts: 541
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

bimper21

  • Member
  • Posts: 309
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

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?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

Did you know?

Although the Roman numeral for the number 4 has always been taught to have been "IV," according to historians, the ancient Romans probably used "IIII" most of the time. This is partially backed up by the fact that early grandfather clocks displayed IIII for the number 4 instead of IV. Early clockmakers apparently thought that the IIII balanced out the VIII (used for the number 8) on the clock face and that it just looked better.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Did you know?

Thyroid conditions cause a higher risk of fibromyalgia and chronic fatigue syndrome.

Ivory trade in East Africa during the 1880s and 1890s Ivory trade in East Africa during the 1880s and 1890s
Colonial Trade with England, 1700–1774 Colonial Trade with England, 1700–1774
A second jetliner approaches the south tower of the World Trade Center on September 11, 2001. The no A second jetliner approaches the south tower of the World Trade Center on September 11, 2001. The no
Social Institutions in Industrial and Postindustrial Societies. Social Institutions in Industrial and Postindustrial Societies.
Schengen Agreement Schengen Agreement
Markets and Institutions Market Story Problem Markets and Institutions Market Story Problem
Video: Cortisol (protein catabolism, gluconeogenesis, vasoconstriction & anti-inflammation)

For a complete list of videos, visit our video library