Consider the appreciation of a currency. What effects might this have on international companies exporting overseas?  What actions could companies take to minimize these effects

Q: Identify any two reasons that US dollars would be demanded in South Africa

A: There can be many reasons that the foreign currency would be demanded in a country such as for…

Q: Find the current account balance of payment if the trade balance are 444 and the invisible balance…

A: As per the question, Trade balance are = 444 Invisible balance = 180 Current account balance of…

Q: Which of the following increases the supply of foreign exchange? a. Investments of capital in…

A: Investment in foreign country increases the demand for foreign currency, and increases the supply of…

Q: Nigeria has a positive trade balance of $10 billion. If it has a negative balance of services of $8…

A: Balance of trade is the difference between the country's exports of goods and services and the…

Q: Discuss how government intervention in the foreign exchange market can effect economic conditions of…

A: 1.Government intervention in foreign exchange market. There are 2 types of foreign exchange rate:…

Q: The record of a country's transactions in goods, services, and assets with the rest of the world is…

A: Balance of payment accounts is a statement that keeps track of all the monetary transactions (i.e.,…

Q: What determines the value of a currency in the flexible exchange rate system ?

A: The exchange rate is the value of one country’s currency to the value another country’s currency.

Q: Explain why you agree or disagree with the following statements: A country that grows faster than…

A: In a floating exchange rate system, depreciation of currency occurs when there is a decline in the…

Q: Define favourable and non favorable balance of trade

A: When exports are greater than imports,it would be known as favourable balance of trade.

Q: if US citizen decides to consume less and save more, then the foreign-exchange price of the dollar…

A: Exchange rate is the rate at which the nation's currencies are exchanged.  And it is determined at…

Q: What will happen if the price of US dollars declines considerably against the Japanese yen then: a)…

A: Exchange rate is the rate of exchange of two currencies. It means that it is the rate at which one…

Q: Define the following terms.  a. Trade b. Nominal Exchange rate c. Real Exchange rate d. Absolute…

A: The economics is the social science that study how the individual allocates their scarce resources…

Q: An increase in the demand for US goods imported into South africa will have the following impact in…

A: The government would have the international account into two types which is divided into capital…

Q: What is exchange rate? (import/export)

A: Exchange rate is that rate of conversion at which one currency is exchanged with another currency.…

Q: How will currency appreciation make imports cheaper and exports more expensive, causing the trade…

A: Increasing the value of country’s currency against other country’s currency is termed as…

Q: why do we need foreign exchange, describe the concept of apprciation, depreciation, revaluation, and…

A: The foreign exchange rate determines the rate at which one currency can be traded for another. It is…

Q: Who would benefit if the exchange rate with yen (in U.S. dollars) increased (i.e. one dollar can buy…

A: Exchange rate refers to the rate at which a country’s currency can be traded for another country’s…

Q: If the US dollar appreciated against the Japanese yen what would you expect to happen to US net…

A: In the flexible exchange rate system, when the value of domestic currency increases in terms of…

Q: Why do economists often consider a nation's balance of trade an important indicator of national well…

A: The movement of products, services, capital, and technology between nations is referred to as…

Q: Discuss how decisions by consumers, firms, and governments affect the balance of payments.

A: The balance of payments(BOP) situation of a country is affected by the decisions taken by different…

Q: Algeria has a negative trade balance of $7 billion. If it is has a positive balance of goods of $10…

A:

Q: If a country is importing more than it is exporting it will have a balance of trade trade surplus…

A: Balance of trade is the difference between the total value of exports and imports.

Q: hich of the following increases the demand for foreign exchange? a. Export of goods and services…

A: Foreign exchange demand is increased when the country pay more amount of money to other nation by…

Q: How does a trade deficit affect floating exchange rates?

A: Trade deficit is a situation where the imports of a country exceeds the exports which states that…

Q: Explain why a currency depreciation leads to an improvement in a country’s trade balance

A: Answer to the question is as follows :

Q: which group may be hurt by an appreciated us dollar to the mexican peso?

A: Due to an appreciated US Dollar in  relation to the mexican peso , both (US people as well as the…

Q: Explain how exchange rates may impact the performance of international equity investment.

A: Changes in exchange rates may not seem to affect most people in their everyday lives, but indirect…

Q: Is it fair for China to fix its currency by undervaluing it on the market? How does keeping its…

A: China is a large open economy that makes international trade under a fixed or pegged exchange rate…

Q: In a fixed exchange rate system, how do countries address the problem of currency market pressures…

A: A FER {"fixed exchange rate"} is described as a rule that is enforced by a central bank or a…

Q: Which of the following will decrease the supply of US dollarsin the foreign exchange market? (A) US…

A: A foreign exchange market is a market where the currency of one country is exchanged with the…

Q: Who is harmed by a stronger domestic currency? Foreign Investors US Exporters US Tourists US…

A: When the domesic currency of a country gains strength it suggests that the country has gained…

Q: Which of the following will decrease the supply of US dollarsin the foreign exchange market? (A) US…

A: The foreign exchange market is a global over-the-counter (OTC) marketplace that determines currency…

Q: The US economy is growing faster than that of Japan. The faster growth rate in the US should cause…

A: Answer to the question is as follows :

Q: Expenditures for services such as tourism,income for foreign investment, and foreign giftsare…

A: Meaning of Balance of Payments: The term balance of payments refers to the statement or trade…