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Harrizon [31]
3 years ago
5

Assuming sticky prices and given expectations of future exchange rates, what is the short-run effect on the exchange rate of the

U.S. dollar (purchasing euros) and on domestic and foreign rates of return if there is a temporary increase in the quantity of euros?
Business
1 answer:
stiks02 [169]3 years ago
7 0

Answer:please refer to the explanation section

Explanation:

An increase in the quantity of euros will lead to a decrease in demand for the euros currency and the current exchange rate will fall. a decrease in the current exchange rates will increase foreign rates of return because the difference between expected exchange rate and current exchange rage will increase.

Current exchange rate will decrease and foreign rates of return will increase

total foreign rate of returns = foreign interest rate + (Expected exchange rate - Current exchange rate)/current exchange rate

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$450 per ton.

Explanation:

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3 years ago
Because corporate officers have the implied power to bind the firm in matters directly connected to its business, there is no li
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It should be noted that corporate officers have the implied power to bind the firm in matters directly connected to its business.

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2 years ago
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m_a_m_a [10]

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anchoring bias

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4 0
3 years ago
Which document should a job seeker send with a résumé to a potential employer?
lesya692 [45]
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