Answer:
The correct answer is the option A: International trade agreements such as the North American Free Trade Agreement (NAFTA).
Explanation:
To begin with, the name of <em>"North American Free Trade Agreement" </em>or NAFTA, refers to the comercial agreement between the three nations of the countries of the norht of America that established that there is a bloc of free trade among Canada, Mexico and the United States that will benefit the three parties whose bloc have formed one of the largest trade blocs in the world by gross domestic product. Moreover, the agreement came into force in 1994 and since then the main purpose of it is to encourage the increase and development of international trade.
Answer:
Policy uncertainty
Explanation:
Policy uncertainty is a class of economic risks associated with erratic economic policy of the government of a particular country. Policy uncertainty discourages investment and raises the investment risk factor of an economy.
It can come from unstable and unexpected monetary or fiscal policy of a regime or unpredictable regulatory framework.
Answer: $300,000
Explanation:
One year Rate Sensitive Assets (RSA) = Short term consumer loans (one year maturity) + Three month treasury bills + Six month treasury notes + 30 year floating rate mortgages ( rate adjusted every nine months)
= 150 + 130 + 135 + 140
= $555 million
One Year Rate Sensitive liabilities (RSL) = Three month CDs + Three month bankers acceptances + Six month commercial paper + One year time deposits
= 140 + 120 + 160 + 120
= $540 million
RSA - RSL = 555 - 540 = $15 million
Change in interest income = Difference between RSA and RSL * change in interest rates
= 15,000,000 * 2%
= $300,000