1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
viva [34]
3 years ago
7

Suppose that the United States and China trade exclusively with each other. What will happen to the value of the U.S. dollar, ce

teris paribus, if the price level in China rises faster than the price level in the United States
Business
1 answer:
grin007 [14]3 years ago
6 0

Answer:

If the price level in China is rising faster than the price level in the US, this means that the Chinese inflation rate is higher.

two different things will happen here:

1) higher inflation means that Chinese products will be more expensive which will increase the demand for American products. An increase in the demand for American products will appreciate the US dollar, but...

2) Inflation all by itself generally would not alter the exchange rate, but high inflation generally leads to high interest rates. Central banks usually increase interest rates to decrease inflation.

Higher interest rates will usually increase the demand of a currency which result in an appreciation of the local currency against foreign currencies. In this case, the Chinese yuan should appreciate against the US dollar.

Generally the appreciation of a currency due to high interest rates will offset the depreciation due to a negative trade balance.

You might be interested in
Marigold Inc. reported total assets of $2391000 and net income of $318000 for the current year. Marigold determined that invento
Artist 52 [7]

Answer:

Total Assets = $2391000

Net Income = $318000

Explanation:

The corrected amount for total assets and net income for the year :

Total Assets = $2391000

Net Income = $318000

7 0
2 years ago
Monetary Policy in Flosserland: In Flosserland, the Department of Finance is responsible for monetary policy. Flosserland has ha
evablogger [386]

Answer:

The correct answer is d) neither the long-run Phillips curve nor the Classical dichotomy.

Explanation:

The answer that best suits the situation described is the Phillips curve in the short term but not in the long term.

The Phillips curve starts from the principle that the amount of money circulating (commonly called "money supply") has real effects on the economy in the short term. In this way, an increase in the money supply would have a beneficial effect on aggregate demand, as citizens will spend more when their nominal wages are increased (known as “monetary illusion”) and a more favorable framework for investment and investment will be created. that the prospects of rising prices will improve the expectations of corporate profits. The improvement in aggregate demand would result in greater economic growth, and this in turn in the creation of new jobs. This is how an inverse relationship between inflation and unemployment is established, expressed graphically by a downward curve.

3 0
3 years ago
Which type of briefing is delivered to individual resources.
ycow [4]
Field-level briefings
your welcome
6 0
2 years ago
Personal selling can take place in all situations except when
olasank [31]

Answer:

Through the newspaper ads.

Explanation:

Personal selling is one of the ways of selling of products by various businesses where the seller and the customers come in direct contact or face to face in order to discuss the features, benefits, and worthiness of any product that the seller is interested in selling This can be done through direct face to face interaction, on telephones, through video conferencing, and also on the internet but not through newspaper ads.

8 0
3 years ago
Give an example of a successful or unsuccessful transformational leader. What if anything about the context (e.g., industry, mar
Tanzania [10]

Answer:

Explanation:

One transformational leader that we can talk about was Martin Luther King Jr. who was an Activist and Minister who fought for American Civil Rights in the United States in the early 1950s. MLK jr. was both assisted and hindered by the time in history in which his efforts took place. This is because at the time African American Rights were almost non-existant and the Civil Rights movements were at an all time high. This means that MLK jr. was able to amass many followers as he was fighting to make the world a more equal place for everyone, but at the same time it was a time in history where racism was at an all time high as well. This hindered his efforts greatly and ultimately led to his death in 1968. Regardless, Martin Luther King Jr. made one of the biggest impacts in the Civil Rights movements in history as a transformational leader.

5 0
2 years ago
Other questions:
  • Erin promises to pay her friend Stephanie$10,000 if Stephanie refrains from eating any foods that contain animal products. Steph
    13·2 answers
  • You are a manager in a perfectly competitive market. the price in your market is $14. your total cost curve is c(q) = 10 + 4q +
    9·2 answers
  • ou need to give the customer something that they need." This statement best reflects the beliefs of marketers during the _____ E
    13·1 answer
  • The world’s largest bank. Deutsche Bank set as its objective to make its name more recognizable in the United States. The succes
    14·1 answer
  • Which of the following items appears on the income statement before income before income taxes?
    11·1 answer
  • To encourage employee ownership of the company's common shares, KL Corp. permits any of its employees to buy shares directly fro
    9·1 answer
  • You are meeting to discuss the proper categorization of marketing strategy costs in the monthly department budget performance re
    11·1 answer
  • A customer has opened a margin account and has signed both the hypothecation agreement and the loan consent agreement. The broke
    8·1 answer
  • Journalize the following transactions.a. On December 1, $13,250 was received for a service contract to be performed from Decembe
    11·2 answers
  • Which of the following is true of a matrix organizational structure? A matrix organizational structure is hierarchical, but inst
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!