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gregori [183]
3 years ago
8

Identify which of the factors below are better short-range predictors and which are better long-range predictors of movements in

foreign exchange rates.a. Relative monetary growthb. Relative inflation ratesc. Nominal interest rate differentialsd. Psychological effectse. Investor expectationsf. Bandwagon effects
Business
1 answer:
alina1380 [7]3 years ago
8 0

Answer:

Short range predictors:

c. Nominal interest rate differential

d. Psychological effects

e. Investor expectations

f. Bandwagon effect

Long range predictors:

a. Relative monetary growth

b. Relative inflation rates

Explanation:

Nominal rate, the real rate, and inflation. long term predictors of an economic theory in which a relationship between inflation, nominal interest rate and real interest rate is identified. It defines that real interest rate is equal to inflation minus nominal interest rate.

Bandwagon effect is a short range predictor because it is effect of uptake when people follow others. They take decisions what other do and its their belief that other people have taken the right decision so we too. This is just a short term hop based on beliefs regardless of any underlying evidence.

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Explanation:

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8 0
1 year ago
Which of the following is true about open-end mutual funds?
strojnjashka [21]
The truth about open-end mutual funds is that they <span>are bought or sold at their net asset value.

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6 0
3 years ago
Hadley Corporation issued 200,000 shares of $5 par value common stock for $25 per share. During that year, the corporation susta
kari74 [83]

Answer:

D : common stock of $1,000,000

Explanation:

Hadley Corporation

Issued shares × par value common stock

Issued shares 200,000

Par value common stock $5

Hence:

200,000 x $5

= $1,000,000

Therefore the year-end balance sheet would show a common stock.of $1,000,000

8 0
3 years ago
According to Larry Marder, the president of the McFarlane Companies, the company has changed and morphed and grown over the year
cricket20 [7]

Answer:

Unrelated Diversification

Explanation:

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