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nikklg [1K]
4 years ago
14

Assume that the uncovered interest parity condition holds. Also assume that the U.S. interest rate is greater than the U.K. inte

rest rate. Given this information, we know that investors expect ________.
Group of answer choices:
O the pound to depreciate.
O the pound to appreciate.
O the dollar-pound exchange rate to remain fixed.
O the U.S. interest rate to fall.
Business
1 answer:
Andrei [34K]4 years ago
7 0

Answer:

Assume that the uncovered interest parity condition holds. Also assume that the U.S. interest rate is greater than the U.K. interest rate. Given this information, we know that investors expect the pound to appreciate.

Explanation:

Considering the assumption that the uncovered interest parity condition holds and also that the interest rate in the U.S is greater than the U.K interest rate.

The above assumptions imply that there will be a depreciation in the dollar and an appreciation in the pound.

Therefore, investors would expect the pound to appreciate.

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The product-variety externality is associated with the A. consumer surplus that is generated from the introduction of a new prod
Vlad [161]

Answer:

A. consumer surplus that is generated from the introduction of a new product.

Explanation:

The product-variety externality is defined as consumer get the surplus that is generated from the introduction of a new product and entry of a new firm conveys a positive externality on consumers. It arises as new firms offer products that differ from those of the existing firms, however, it does not happen under perfect competition. Competitive market lead to efficient outcomes, unless there are externalities.

4 0
3 years ago
An 85-year old retired client has living expenses of $15,000 per year. His portfolio is currently allocated: 50% Money Market Fu
Slav-nsk [51]

Answer:

Explanation:

The best recommendation in this scenario would be to liquidate half of the money market fund and invest it in 5 year corporate debentures yielding 2.70%. This is because traditionally money market funds, although highly liquid, only offer an average of 1% return on investment for the capital invested. Investing instead in a corporate debentures yielding would net the individual more than double in ROI and hopefully cover all of the living expenses.

3 0
3 years ago
Jeff tells Judy about the possible changes in overtime policy the company is going to adopt while eating lunch in the break room
WARRIOR [948]

Answer: Grapevine

Explanation: Grapevine is an informal communication network in which the information does not flow in a prescribed and rule based structure. The information flows at every direction irrespective of the level of authority.

In the given case, Jeff initiates the information flow at lunch and not in an official meeting. Similarly Judy receives the information from the HR department employee although she do no work there.

Hence the information is flowing in every direction. Thus, the correct answer is grapevine.

3 0
3 years ago
Where is the Apple Pay Cash recipients money stored
Debora [2.8K]
All the money you receive via Apple Cash is loaded onto a virtual card that exists within Wallet - Apple's app for storing credit cards, debit cards, loyalty cards, boarding passes, tickets, and more.
8 0
3 years ago
Fogelberg Company purchased equipment for $30,000. Sales tax on the purchase was $1,500. Other costs incurred were freight charg
Y_Kistochka [10]

Answer:

Cost of the equipment  = $32350

Explanation:

given data

purchased equipment =  $30,000

Sales tax = $1,500

freight charges = $400

repairs = $700

installation costs  = $450

solution

we get here Cost of the equipment that is express as

Cost of the equipment  = Purchase cost + Sales tax paid + Freight + Installation cost    .........................1

put here value and we will get

Cost of the equipment  = $30000 + $1500 + $400 + $450

Cost of the equipment  = $32350

4 0
4 years ago
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