currency Y depreciate against USD by _________% Let’s say currency Y used to be at 1=$1 USD on fixed peg, now it changed to 1.25 = $1USD, how much has currency X depreciate
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- currency Y
depreciate against USD by _________%
Let’s say currency Y used to be at 1=$1 USD on fixed peg, now it changed to 1.25 = $1USD, how much has currency X depreciate?
Depreciation is the decrease in the value of the currency in terms of other currency.
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- Can you think of any major disadvantages to dollarization? How would a central bank work in a country that has dollarized?Many developing countries, like Mexico, have moderate to high rates of inflation. At the same time, international trade plays an Important role In their economies. What type of exchange rate regime would be best for such a countrys currency vis Ă´ vis the U.S. dollar?Other things being equal, an increase in a country's interest rates will cause its currency to depreciate. True False If the U.S. dollar had a value equal to 1 euro a year ago and is now worth 1.2 euros, we say that the euro has appreciated over the past year. True False
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- If $1 USD = $1.09 CAD (Canadian dollar), which country has a stronger currency today? How do you know that it is stronger? What do we mean when we say that a currency is strong?Suppose the dollar depreciates relative to foreign currencies. If U.S. firms have domestic content below 100%, the benefit to domestic firms is _____ (greater or less) than the benefit if U.S. producers had domestic content of 100%.These are for a study guide ( not a grade please do not decline) Question 1: A currency depreciates if it buys less of a foreign chrr. The US dolalr reprecisted against what currencies from month 1 to 2 explain using numbers from the chart Question 2: Spanish holders of real estate and transportation in Spain are attracting investment ma from British investors using pound Sterling. In what month do the British investors buy Spanish real estate and transportation. Explain using numbers and show how you got it. Question 3: An American company contracts a Japanese's architect to design a new building in Seattle for 8,075000 dollars. How much in yen would it cost in month 1 vs month 2. Which month would the Americans prefer to pay off the contract. Show math