0
What else can I help you with?
How might a rise in local currency affect a country's interest rates?
It may also encourage a decrease in the interest rates in the country if the central bank of that country wants to maintain the currency exchange rate and a decrease in the interest rate would spur local investment.
What is the relationship between Interest rate parity with exchange rate?
Exchange rate is the rate at which one country's currency is changed for another country's currency. For example the rate at which one dollar can be changed for pound sterling or any other currency.
What factors determine how exchange rates are based on?
Exchange rates are determined by factors such as interest rates, inflation, political stability, and economic performance of a country. Supply and demand for a currency also play a significant role in determining exchange rates.
What happen to the exchange rate when there is a zero trade balance?
When a country has a zero trade balance, it means that its exports and imports are equal, resulting in no net flow of currency due to trade. In this scenario, the exchange rate may stabilize, as there is no pressure on the currency to appreciate or depreciate due to trade imbalances. However, other factors, such as capital flows and interest rates, can still influence the exchange rate. Overall, a zero trade balance can contribute to a more stable exchange rate environment.
What are the factors which influence the balance of payments of a country?
Changes in GDP ,price of domestic goods, exchange rates and direction and size of capital flows
What has the author Age Bakker written?
Age Bakker has written: 'Advanced country experiences with capital account liberalization' -- subject(s): Foreign exchange rates, Monetary policy, Capital movements
How might a rise in local currency affect a country's interest rates?
It may also encourage a decrease in the interest rates in the country if the central bank of that country wants to maintain the currency exchange rate and a decrease in the interest rate would spur local investment.
What are the factors that drives interest rate up?
Factors that greatly affects interest rate, whether an increase or decrease, are economic and political stability. To list a few: Country's Inflation (exchange rate). Country's legislative changes.
3 things that will strengthen the currency of a country?
1. Foreighn Exchange 2. Trade Deficit 3. Interest Rates
What is the relationship between Interest rate parity with exchange rate?
Exchange rate is the rate at which one country's currency is changed for another country's currency. For example the rate at which one dollar can be changed for pound sterling or any other currency.
What factors determine how exchange rates are based on?
Exchange rates are determined by factors such as interest rates, inflation, political stability, and economic performance of a country. Supply and demand for a currency also play a significant role in determining exchange rates.
What happen to the exchange rate when there is a zero trade balance?
When a country has a zero trade balance, it means that its exports and imports are equal, resulting in no net flow of currency due to trade. In this scenario, the exchange rate may stabilize, as there is no pressure on the currency to appreciate or depreciate due to trade imbalances. However, other factors, such as capital flows and interest rates, can still influence the exchange rate. Overall, a zero trade balance can contribute to a more stable exchange rate environment.
What are the factors which influence the balance of payments of a country?
Changes in GDP ,price of domestic goods, exchange rates and direction and size of capital flows
On a map what words would be next to a star or dot with a circle around it in the country of Bolivia?
the capital of bolivia
Ecuador is the capital of which country?
Ecuador is the name of a country. It is not a capital city of any country.
What does diverse country mean?
A diverse country is one that features a variety of cultures, ethnicities, religions, languages, and perspectives within its population. This diversity often enriches the country by promoting tolerance, understanding, and the exchange of different ideas and experiences.
What is the difference between regulatory capital and economic capital?
What is the difference between the economic situation and Sudan's capital, Khartoum, and the rest of the country? The cost of water each day, impacts on any other country in the largest country in Africa. Unfortunately, the oil exchange meant vapory. In fact, millions of people left the region due to these conflicts. This conflict was where one economy agrees about the loss of Human Capital Service. By: K.A.
