Questions from Macroeconomics

Q: On March 30, 2012, the U.S. dollar

On March 30, 2012, the U.S. dollar was trading at 82 yen per U.S. dollar on the foreign exchange market. On August 30, 2012, the U.S. dollar was trading at 79 yen per U.S. dollar. a. What events in th...

Q: Colombia is the world’s biggest producer of roses. The global demand

Colombia is the world’s biggest producer of roses. The global demand for roses increases and at the same time Colombia’s central bank increases the interest rate. In the foreign exchange market for Co...

Q: The U.K. pound is trading at 1.54

The U.K. pound is trading at 1.54 Canadian dollars per U.K. pound and purchasing power parity holds. The Canadian interest rate is 2 percent a year and the U.K. interest rate is 4 percent a year. a. C...

Q: The Canadian price level is 106.3, the Japanese price

The Canadian price level is 106.3, the Japanese price level is 95.4, and the real exchange rate is 103.6 Japanese real GDP per unit of Canadian real GDP. What is the nominal exchange rate?

Q: With the strengthening of the yen against other currencies in 2012,

With the strengthening of the yen against other currencies in 2012, Japan’s central bank did not take any action. A Japanese politician called on the central bank to take actions to weaken the yen, sa...

Q: The table gives some information about Canada’s international transactions in 2010.

The table gives some information about Canada’s international transactions in 2010. Item……………………………………………………. Billions ofdollars Imports of goods and services……………….………….…….…… 508 Net foreign investme...

Q: In Canada between June and July in 2014, the number of

In Canada between June and July in 2014, the number of full-time jobs fell by 59,700 while part-time jobs increased by 60,000. The unemployment rate fell 0.1 percent to 7 percent as some workers left...

Q: Explain for each event whether it changes the quantity of real GDP

Explain for each event whether it changes the quantity of real GDP supplied, short-run aggregate supply, long-run aggregate supply, or a combination of them. ■ Automotive firms in Canada switch to a n...

Q: Explain for each event whether it changes the quantity of real GDP

Explain for each event whether it changes the quantity of real GDP demanded or aggregate demand in Canada. ■ Canada’s exports to the European Union boom. ■ Canadian firms build new pipelines across th...

Q: Real exports of goods and services increased 4.2 percent in

Real exports of goods and services increased 4.2 percent in the second quarter, after falling 0.2 percent in the first quarter. Real imports of goods and services increased 2.7 percent, after falling...