Questions from Multinational Business Finance


Q: What do the general categories of investment grade and speculative grade represent

What do the general categories of investment grade and speculative grade represent?

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Q: What is sovereign debt? What specific characteristic of sovereign debt constitutes

What is sovereign debt? What specific characteristic of sovereign debt constitutes the greatest risk to a sovereign issuer?

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Q: Why do borrowers of lower credit quality often find their access limited

Why do borrowers of lower credit quality often find their access limited to floating-rate loans?

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Q: What is an interest rate future? How can they be used

What is an interest rate future? How can they be used to reduce interest rate risk by a borrower?

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Q: What are the three basic theoretical approaches to exchange rate determination?

What are the three basic theoretical approaches to exchange rate determination?

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Q: What is the downside of both direct and indirect intervention?

What is the downside of both direct and indirect intervention?

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Q: Are capital controls really a method of currency market intervention, or

Are capital controls really a method of currency market intervention, or more of a denial of activity? How does this fit with the concept of the impossible trinity?

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Q: What was the primary disequilibrium at work in Asia in 1997 which

What was the primary disequilibrium at work in Asia in 1997 which likely caused the Asian financial crisis? Do you think it could have been avoided?

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Q: What are the currency risks which arise in the process of making

What are the currency risks which arise in the process of making a cross-border acquisition?

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Q: What is meant by the term "fundamental equilibrium path" for

What is meant by the term "fundamental equilibrium path" for a currency value? What is "noise"?

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