Question

maintaining and financing current account deficits indefinitely or very long periods of time is impossible. the...

maintaining and financing current account deficits indefinitely or very long periods of time is impossible. the economy has to find some ways of adjusting the deficit. with flexible price assumption, discuss the adjustment mechanisms.

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Turkish economy has struggled with current account deficits since the 2000s. However, although current account balance...
Turkish economy has struggled with current account deficits since the 2000s. However, although current account balance had a deficit, an adjustment in current account balance was observed in years 2002, 2009 and 2018. Discuss what type of automatic mechanisms and adjustment policies might have contributed to this adjustment. Explain clearly by being specific about the type of the mechanism and policy for each year.
exam3 #12 CBO expects higher​ long-term deficits The Congressional Budget Office​ (CBO) says the national debt...
exam3 #12 CBO expects higher​ long-term deficits The Congressional Budget Office​ (CBO) says the national debt is on an upward path and will hit 122 percent of GDP in 2040. Healthcare programs and Social Security benefits are the large drivers of spending over the coming decades. ​Source: The Wall Street Journal​, July​ 12, 2016 If the government decided to slow the growth of debt by cutting transfer payments and raising taxes by the same​ amount, how would this fiscal policy...
SHORT-TERM FINANCING AND OPTIONS CONTRACT Gregg, the CFO and the board of directors of Baldwin Inc....
SHORT-TERM FINANCING AND OPTIONS CONTRACT Gregg, the CFO and the board of directors of Baldwin Inc. have taken enough time to discuss capital budgeting, dividend policy, and capital structure and now want to focus their attention on short-term finance and cash planning of the company. The board is considering the ways to improve the working capital management of the company. They are also discussing various sources of short-term financing and the minimum amount of money to borrow in the short-term...
SOME DRAWBACK OF BLACK-SCHOLES Briefly discuss here some difficulties associated with the Black Scholes formula, which...
SOME DRAWBACK OF BLACK-SCHOLES Briefly discuss here some difficulties associated with the Black Scholes formula, which is widely used to calculate the price of an option. For example, consider a European call option for a stock. This is the right to buy a specific number of shares of a specific stock on a specific date in the future, at a specific price (the exercise price, also called the strike price). If all these quantities are fixed, the question becomes: what...
Question: Current situation Patterson has remained profitable, but its return on investment has been declining. The...
Question: Current situation Patterson has remained profitable, but its return on investment has been declining. The number of new products introduced has fallen as has the number of improvements to existing products. Whereas the firm once manufactured over two hundred products classified into six product categories, the firm now manufactures less than one hundred products in four categories. Only twelve of the products have current annual sales volumes exceeding $1 million. Further, many of the firm's once unique products now...
1. In which phase of the business cycle is the U.S. economy currently in? ________________. How...
1. In which phase of the business cycle is the U.S. economy currently in? ________________. How many months has the U.S. economy been in this stage of the business cycle? ___________ months 2. How long has the current expansion/recovery lasted to date? _________________ How does this compare to the average length of U.S. recessions since 1854? ______________________________. 3. What do the last four recoveries/expansions (that is, the current recovery/expansion and the previous three recovery/expansions), suggest about a new trend in...
1.An obligation of a business that represents the claims of others against the assets of he...
1.An obligation of a business that represents the claims of others against the assets of he business is called a(n) * A.asset B.liability C.expense D.revenue E.equity 2.The general journal provides a place for recording * A.the amount of each debit and credit B.an explanation of the transaction C.the transaction date D.the names of the accounts involved E.All of these 3.An exchange of economic consideration between two parties that causes a change in assets, liabilities or equity is called * A.prepaid...
3.When closing entries are made:Immersive Reader (1 Point) All ledger accounts are closed to start the...
3.When closing entries are made:Immersive Reader (1 Point) All ledger accounts are closed to start the new accounting period. All real accounts are closed but not the nominal accounts. All balance sheet accounts are closed. All temporary accounts are closed but not the permanent accounts. All permanent accounts are closed but not the nominal accounts. 4.A wholesaler is an intermediary that buys products from manufacturers or other wholesalers and sells them to consumers.Immersive Reader (1 Point) True False 5.The Merchandise...
6.   If the general level of interest rates goes down and I am holding a bond with...
6.   If the general level of interest rates goes down and I am holding a bond with a fixed coupon rate, I would expect the value of my bond to a.stay the same b.double c.increase d.decrease e.not enough information to tell 7.  The Rule of 72’s a.Is about doubling the present value to get the future value. b.Says that 72 divided by the payment gives you the number of years to double. c.Says that the rate divided by 72 gives you the...
How this case apply to globalization ? FREEPORT, Pa. The rising dollar is putting US. Manufacturers...
How this case apply to globalization ? FREEPORT, Pa. The rising dollar is putting US. Manufacturers through the equivalent of a new year's fitness regime, causing pain for now but also promising long-term gains in efficiency. After more than a decade of weakness, the dollar began surging in mid-2014 against the euro and many other currencies. That is making U.S.-made products pricier in other countries and imports cheaper in the U.S.-a combination that is likely to expand, the already gaping...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT