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Question: 6 means committing oneself to an uncertain future value...

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6. ) means committing oneself to an uncertain future value of ones net worth in terms of home currency A. Selling B. Hedging C. Speculating D. Importing 7. Which of the following groups is most likely to benefit from a strengthening of the U.S. dollar against major currencies?) A. U.S. exporters B. U.S. government C. U.S. consumers D. Foreign consumers 8. Which one of the following mechanisms is NOT an automatic adjustmen t of the current account in fixed exchange rate system?() A. price adjustments B. income adjustments C. interest rate adjustments D. monetary adjustments 9. The J-curve effect describes (). A. the continuous long-term inverse relationship between a countrys current account balance and the countrys growth in gross national product B. the short run tendency for a countrys balance of trade to deteriorate even while its currency is c. the tendency for exporters to initially reduce the price of goods when their own currency appreciates D. the reaction of a countrys currency to initially depreciate after the countrys inflation rate declines 10. If you have a commitment to pay a friend in Britain 1,000 pounds in 30 days, you could remove the risk of loss due to the appreciation of the pound by () A. buying dollars in the forward market for delivery in 30 days B. selling dollars in the forward market for delivery in 30 days C. buying pounds in the forward market for delivery in 30 days D. selling pounds in the forward market for delivery in 30 days
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