How did covid 19 affect balance of payment of Africa

Q: A television costs $500 in the United States. The same television costs 312.5 euros. If purchasing…

A: Spot exchange rate: It is the amount on which one currency will be traded for another today.

Q: How would each item be counted in the US balance of payments? Give sign, category (e.g. export, FDI,…

A: Macroeconomics is a part of economics that deals with production, decision and allocation concerning…

Q: What is meant by official reserve transaction discuss the importance in balance of payment!

A: According to the given question In simple words we can say that the transactions that usually…

Q: Compare uncovered interest rate parity (UIRP) with covered interest rate parity (CIRP).

A: Interest rate parity (IRP) is the equation that states the relationship between interest rates and…

Q: what is volatility in exchange rate ?

A: Exchange rate is defined as the rate at which the currency of one country is exchange for the…

Q: What are the advantages and disadvantages of small open economy to peg currency to US dollar? Under…

A: Money has been used since the ages in various forms. For example metals were used as money and…

Q: how exchange rate stability is achieve through equilibrium in balance of payment?

A: The exchange rate, as we all know, is the rate at which one currency may be exchanged for another. A…

Q: Differentiate fixed and floating exchange rates.  I need 3 difference

A: # If in an economy, the exchange rate it is fixed by the government then it is termed to be as fixed…

Q: Q.3 Interest rate parity theory suggest that prices in the trading countries (P,P) keep on changing…

A: Interest rate parity is the theory that monitors the relationship between the interest rates and…

Q: Floating exchange rate system works on the market mechanism

A: To find : Incorrect statement.

Q: Explain the effect of the terrorism of Syria on Syria currency exchange.

A: The conversion of one country's currency into another is known as foreign exchange (or forex). The…

Q: Q. Find any three saarc countries, Calculate effective exchange rate too.

A: South Asian Association for Regional Cooperation (SAARC)  founded in 1985.  Effective exchange rate…

Q: If ¥1 (Yen) equals $ 0.0093, what does $1 equal?

A: Given, 1 Yen = $0.0093 An international exchange rate, also said as a foreign exchange rate. It is…

Q: uncovered interest parity

A: The interest rate parity implies that the expected return from two countries will equalized by the…

Q: Elaborate the concept of Balance of Payments. Discuss its different accounts briefly.

A: Balance of payment (BOP) refers to the financial statement of all the transaction of a country with…

Q: Indicate whether each of the following items represents a debit or a credit of the US balance of…

A: Answer: Debit items: debit items are those items that lead to a flow of money out of the country.…

Q: Write a short note on Foreign Exchange Regulation Act of US 1983?

A: Foreign exchange regulation is a type of financial regulation focused primarily on the decentralised…

Q: explain Antidumping Duties and Managed Exchange Rates in detail

A: Antidumping Duties:- Antidumping duties can be defined as the protection tariffs that are imposed by…

Q: Most exchange rates are free-floating.  True or False

A: A free floating exchange rate is solely determined by market forces of demand and supply of foreign…

Q: What is the position of Balance of payments (BOP) of India?

A: Introduction – Balance of payments (BOP) transactions include imports and exports of goods,…

Q: what is better currency appreciation or currency depreciation?

A: If there is a fall in the value that is depreciation of the currency this will result in a fall of…

Q: Identify the historical problem with Balance of Payments (BOP) in the United States from 2008-2018.

A: A country's Balance of Payment (BoP) keeps track of all the economic actions between the citizens of…

Q: (1) Explain the uncovered interest parity condition. (2) Suppose that you have $1 to

A: Interest rate parity refers to the situation where the difference in the interest rate between the…

Q: Compare the advantages and disdvantages of fixed rate over flexible exchange rate system.

A: Initially considering the fixed exchange rate, this fixed kind of exchange rates between the…

Q: if a country pegs its currency value to the euro and the exchange rate peg is low relative to…

A: A speculative attack is the sudden sale of untrustworthy assets by previously passive speculators,…

Q: George Soros famously bet against the pound in 1992 reportedly earning $1bil in profit. He has since…

A: Soros refers to his theory as the "reflexivity hypothesis." It is based on the premise that price…

Q: Illustrate and explain the mathematical formulas used to compare currency  movement in foreign…

A: An exchange rate is the cost of converting one currency into another. Exchange rates fluctuate…

Q: Explain the interest parity condition – including equilibrating mechanisms.

A: Interest parity theory states that the difference between interest rates in the two countries is the…

Q: A Japanese tourist rents a hotel room in London. The impact on BOP will be debit for Japan current…

A: In balance of trade, the current account estimates the inflow and outpouring of merchandise,…

Q: Which of the following insitutions plays a central role in the management of balance of payments…

A: Institutions play a central role in the management of balance of payments difficulties and…

Q: Explain the current system of managed floating exchange rates.

A: The managed floating exchange rate is the exchange rate system that is halfway between the fixed…

Q: Identify each transaction by whether it belongs in the US current account or financial account: A…

A: Current account records exports and imports of goods and services, and investment income.

Q: the key role played by the law of one price in determining exchange rates.

A: One price law refers to the economic theory stating that identical products in different/various…

Q: Discuss currency conversion as a function of foreign exchange market. Explain your answer with…

A: Foreign exchange market is a market where buying and selling of currency takes place between…

Q: What is impact on balance of payment of a country?

A: The Balance of Payments is defined as a record of all economic and monetary dealings made between a…

Q: why is the current account more important in the balance of payment account

A: An objective for pretty much each country is to export product and services to spice up revenue. the…