If the exchange rate rises, which of the following falls in the open-economy macroeconomic model? a. desired net exports and desired net capital outflow b. desired net exports but not desired net capital outflow c. desired net capital outflow but not desired net exports d. neither desired net exports nor desired net capital outflow

Answers

Answer 1
Answer:

Answer: Option(d) is correct.

Explanation:

Correct option: Neither desired net exports nor desired net capital outflow

If there is increase in the exchange rate, then there will be depreciation of the home currency. This means that now a person have to pay more for the same amount of imported goods.

The exports of a country also increases with increase in the exchange rate. So, the economy became more stronger.

And an economy rises exchange rate for stabilizing the foreign interest rate and domestic interest rate.

If the domestic interest rate is higher than the foreign interest rate then there is a inflow of capital in the home country. So, an economy increases the exchange rate to equal the foreign interest rate and domestic interest rate.


Related Questions

Chung manages his employees by carefully monitoring their production, comparing what they do to predicted schedules and desired budgets. Chung can best be described as a ________ leader. A. servant B. task-oriented C. transformational D. relationship-oriented E. charismatic
Identify three challenges bricks constructions may encounter when trying to implement their corporate social investment plan in the local community
The process of developing the operating budget begins with the Answera. sales budget. b. income statement. c. production schedule. d. capital expenditure budget.
Copyright law is settled and does not change. t f
Whom did sharecropping most often harm?heads of railroad companiesmarket vendorsAfrican American sharecropperswhite landlords

SAT scores generally fall _____ points above or below a student's true ability.A.70 to 90
B.40 to 60
C.10 to 20
D.30 to 40

Answers

The correct answer for this question is this one: "D.30 to 40." SAT scores generally fall 30 to 40 points above or below a student's true ability. SAT is a standardized test widely used for college admissions in the United States. 

When a food safety inspector enters your establishment you should?

Answers

When a food safety inspector enters your establishment you should make sure everyone in your establishment is doing their job and protected up to code. When a food safety inspector comes to your workplace they are making sure that everything leaving and entering the kitchen is up to code. Their main goal is to make sure that health codes are being follow to ensure the food and kitchen items remain clean to keep patrons healthy and the food they eat at or above standard.

When a food safety inspector enters your establishment, it is crucial to remain calm, cooperative, and transparent.

Greet the inspector politely and identify yourself as the responsibleperson for the establishment. Offer to assist the inspector during the inspection, providing access to all required areas, documents, and records. Answer any questions truthfully and provide any necessary information about food handling practices, storage, and safety procedures. Address any identified issues promptly and work collaboratively with the inspector to rectify any deficiencies. Maintaining a positive and proactive attitude demonstrates your commitment to food safety, compliance, and the well-being of your customers, ensuring a smooth and constructive inspection process.

To know more about food safety :
brainly.com/question/16477224

#SPJ6

17 As the jobs become more complex the importance of employee development also __________. A. Terminates C. Increases B. Decreases D. Declines

Answers

C. As the jobs become more complex, the importance of employee development also increased. Jobs get new policies and procedures as it becomes complex, and that means employees must be well trained for the new tasks that they will take.

Jordan wants to know how long it will take for the money she deposited to double. She has an interest rate of 4 percent. Calculate how long it will take her money to double.

Answers

Answer:

18 years

Explanation:

To calculate the time an investment will double in value, simply apply the "rule of 72," a rule used in economics and finance, to analyze the time an investment will double, taking its interest rate into account.

The formula is to divide 72 by the interest rate. The result will be the time (in years) required for the value to be doubled.

So:

If the rate is 4%

Now let's divide 72 by 4%

72/4 = = 18 years

4% X 18 (years) = 72.
Therefore, the investment will double in 18 years.

Historically, ____ responsibility means making a profit by producing a product valued by society. It has been the most basic social responsibility of a business.a. discretionary
b. ethical
c. legal
d. fiscal E.economic

Answers

The answer to the question is letter E. economic.
Historically, economic responsibility means making a profit by producing a product valued by society. It has been the most basic social responsibility of a business.
Economic responsibility is one of the common social responsibility to ensure that we are profitable while providing value to our stakeholders.

Advertising, fashion trends, and new product introductions serve toa. create consumer needs.
c. create consumer demand.
b. increase income effectiveness.
d. minimize the income effect. User: Disequilibrium occurs when the quantity supplied and quantity demanded are not the same in a market. Please select the best answer from the choices provided T F

Answers

The correct answer is letter c. create consumer demand. Advertising, fashion trends, and new product introductions serve to create consumer demand. 

Disequilibrium occurs when the quantity supplied and the quantity demanded are not the same in a market. The statement presented is True.

The correct option is 'Advertising, fashion trends, and new product introductions serve to c. create consumer demand. The given statement 'Disequilibrium occurs when the quantity supplied and quantity demanded are not the same in a market' is True

Advertising, fashion trends, and new product introductions serve to create consumer demand. Through persuasive marketing techniques, advertising creates awareness and desire for products or services, stimulating consumer interest and demand. Fashion trends influence consumer preferences, driving demand for trendy clothing and accessories. New product introductions generate excitement and anticipation, creating demand for innovative offerings. By shaping consumer perceptions and preferences, these strategies effectively stimulate and create demand for products, ultimately driving sales and revenue for businesses.

Disequilibrium in a market occurs when there is an imbalance between the quantity of a good or service that suppliers are willing to provide and the quantity that consumers are demanding. This imbalance can lead to price fluctuations and a lack of equilibrium in the market.

To know more about Disequilibrium here

brainly.com/question/30427362

#SPJ6