ECO365H5 Study Guide - Midterm Guide: Foreign Exchange Spot, Money Supply, Nominal Interest Rate
Document Summary
Make all the extra assumptions you consider necessary, but make sure to state them clearly. Describe and classify the two entries in the balance of payments accounts that each transaction generates: during 2010 farmers from abc exported bananas worth ,500. ,000 was received in cash and the remaining amount will be received in 2011: tourists from abc spent ,000 in hotels, meals, and other services abroad in. 2010: an art collector from abc o ered a statue worth to a museum in london, canadian banks forgave ,000 in debt owed to them by the government of abc, imports of consumption goods and machines totalled ,000. Half was paid in cash and the remaining is still owed: (5 points) what were the balances in the current, nancial, and capital accounts of. Abc in 2010: (25 points) equilibrium in the foreign exchange market is characterized by the condition.