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asambeis [7]
3 years ago
6

The risk that a central bank will not make the necessary transfer of foreign currency to complete a currency settlement is known

as ________ risk. Group of answer choices settlement exchange rate Interest-rate Herstatt
Business
1 answer:
motikmotik3 years ago
4 0

Answer:

Herstatt.

Explanation:

The risk that a central bank will not make the necessary transfer of foreign currency to complete a currency settlement is known as herstatt risk.

Herstatt risk is also known as cross-settlement risk or settlement risk. It was named after Bankaus Herstatt (a German bank) that failed in June 1974 when it was supposed to settle a contract for a payment received from the other party and consequently, amounting to a loss of about $602,000,000.

Hence, is mainly a loss in foreign exchange transactions where a party defaults after receiving money from another.

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3 years ago
Consider the following statement: ''Real GDP is currently $17.7 trillion, and potential real GDP is $17.4 trillion. If Congress
Elena L [17]

Answer:

C. more than $300 billion.

Explanation:

As it is given that

Decrease in government purchase by $300 billion

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Therefore, the third option is correct

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6 0
3 years ago
1. Demand curves faced by individual firms in a competitive market are thought to be perfectly elastic while the demand curve fa
eimsori [14]

Answer:

A). The demand curve looked by the flawlessly serious firms are splendidly versatile this is a result of the items selling in the ideal rivalry. The items are indistinguishable so no firm has power over the market cost, in the event that one firm builds the cost of the item the purchasers will quickly move to the result of different firms on the grounds that the items are indistinguishable. No firm has the motivator lessen the cost of their item. So the interest bend would be a level straight line corresponding to the X pivot, this demonstrates the interest is splendidly versatile. A cost increment will bring the amount requested to zero.  

B). The monopolists is just the single vendor in the market, so he can charge any value he needs, yet the amount requested will be relied on the value he charges. For instance in the event that he charges a significant expense the amount demanded will be very less and the other way around. So the monopolist is capable sell more at lower costs just, the descending inclining request bend shows the negative connection between the cost and the amount requested.  

C). In the ideal rivalry there is consummately flexible interest so the MR curve is likewise the interest curve of the firm. For the monopolist the MR curve lies underneath the interest curve, as the costs go bring down the MR decreases.

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2 years ago
Why do cell phone service firms charge more on prepaid<br>​
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I will give you a link from quizlet. Just wait..

4 0
2 years ago
If there are 10 plants producing the total domestic consumption of a product and each plant is operating at minimum efficient sc
tatiyna

Answer:

The correct answer is B. If there are 10 plants producing the total domestic consumption of a product and each plant is operating at minimum efficient scale, then each plant accounts for 10 percent of domestic consumption.

Explanation:

It is understood that the total consumption of a product is 100% of it. Therefore, as long as there are 10 plants that, producing at a minimum efficiency scale on an equal basis, cover this total consumption, the percentage of consumption that each plant produces will be 10%.

This is so because 100/10 = 10, provided that it is considered that the production is carried out equitably between each of the production plants.

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2 years ago
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