when a government designates through decrees, that only particular monetary units shall be accepted in payment. Countries currency problems arise from many situations, main issue is the wars in that country. Also if the country experience high inflation, or if they take a loans that they can’t repaid it. History of the currency: The Colombian peso has been the currency of colombia replaced the real in 1837 at a rate of 1 peso= 8 reals and was initially subdivided into
wage if inflation is factored in. Coen Teulings looked at the wage disparities in the U.S., and stated, “minimum wages can explain the whole increase in wage inequality in the lower half of the wage distribution during the 1980s…”(Teulings, 33) Some may believe wages are a moral issue, but they are an economical issue as well. A 2006 statement issued by over 650 economists, including five Nobel Prize winners argued that minimum wage increases, along with “indexing to protect against inflation” (Aaron
50 26) State whether the following are microeconomic or macroeconomic policy issues: a. Should U.S. interest rate be lowered to decrease the amount of unemployment? macroeconomics b. Will the fact that more and more doctors are selling their practices to managed care networks increase the efficiency of medical providers? Macroeconomics c. Should the current federal income tax be lowered to reduce unemployment? macroeconomics d. Should the federal minimum wage be raised? Microeconomics
currency. Federal government bonds in the United States include: the savings bond, Treasury bond, Treasury inflation-protected securities (TIPS), and others. In my opinion, there are three main reasons for this question. Firstly, before investing in government bonds, all of investors need to assess several risks associated with the country such as: country risk, political risk, inflation risk, and interest rate risk. For example, if Americans don't have enough faith and credits to Federal government
1 Running head: HYPERINFLATION, ITS EFFECTS AND THE ROLE OF THE GOVERNMENT 15 HYPERINFLATION, ITS EFFECTS AND THE ROLE OF THE GOVERNMENT Hyperinflation, Its Effects and the Role of the Government Paige Stokes University of Houston- Downtown Abstract Hyperinflation is not a new phenomenon. In the past century many countries have experienced this phenomenon due to various reasons. Scholars explain that when hyperinflation occurs in a nation
Cons Andrew Berg, Eduardo Borensztein ©2000 International Monetary Fund December 2000 [Preface] [The Pros and Cons of Full Dollarization] [Questions About Pegs] [The Appeal of Dollarization] [The Risk Premium] [Seigniorage] [Stability] [Effect on Trade and Financial Links] [Exit Option] [Lender of Last Resort Function and Financial System Stability] [Conclusions] [Author Information] Preface The Economic Issues Series aims to make available to a broad readership of nonspecialists
Challenges The real has appreciated steadily since 2003. The entry of foreign capital in the Brazilian market is one of the main reasons for the steady appreciation of the Brazilian currency. Inflation expectations have risen, and, given the carryover from late 2010, year-on-year inflation has surpassed the ceiling of the official monetary target since June. The national development bank (BNDES) was created to resolve a market failure. This liquidity injection was helpful in avoiding
between union and management to have a neutral third party collect facts about a dispute and present non-binding recommendations 1. the branch of economics dealing with the economy as a whole, including employment, gross domestic product, inflation, economic growth, and the distribution of income 2. members of the armed forces, the prison population, and other institutionalized persons 3. The trade, or craft, union is an association of skilled workers who perform the same kind of work;
example, the performance of two stocks within the same industry is strongly positively correlated although it may not be exactly +1. Correlation V.S.Covariance: Basically, Correlation is better than covariance: 1 -- Because correlation removes the effect of the variance of the variables, it provides a standardized, absolute measure of the strength of the relationship, bounded by -1.0 and 1.0. This is good because it makes it - 15 - Study notes of Bodie, Kane & Marcus By Zhipeng Yan
skills Difficulty: Moderate 130) Explain what happens in a SWOT analysis during the strategic planning process. Answer: SWOT (strengths, weaknesses, opportunities, and threats) monitors the external and internal environment by examining key macroeconomic and microeconomic forces and actors that have an impact on the organization's business and industry. Page Ref: 48 Objective: 2 Difficulty: Moderate 131) Good marketing is the art of finding, developing, and profiting from marketing opportunities