Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1.9 Read the following extract and answer the question that follows, (4 marks) Unrest and economic underperformance haunt the emerging world At the start of

image text in transcribed

image text in transcribed
1.9 Read the following extract and answer the question that follows, (4 marks) Unrest and economic underperformance haunt the emerging world At the start of the century, developing economies were a source of unbounded optimism and fierce ambition. Today South Africa is reeling from an insurrection, Colombia has suffered violent protests and Tunisia faces a constitutional crisis. Illiberal government is in fashion. Peru has just sworn in a Marxist as its president and independent institutions are under attack in Brazil, India and Mexico. Source: https://www.economist.com/leaders/2021/07/31/unrest-and-economic-underperformance-stalk-the- emerging-world Accessed: 20/08/21 According to economic theory, the above occurrences come as a result of emerging markets failing to accomplish which of the following objectives? Price stability b ) Balance of payments stability C) Economic growth d) Full employment 1.10 Read the following extract and answer the question that follows. (4 marks) South African Rand Carried Higher by Ebbing USD as Double-edged Sword Hangs Above The Rand has lifted off two month lows to outperform many others early the new month, leading the Pound-to- Rand exchange rate to explore the land below 20.00 this week in price action that comes alongside an ebbing of the U.S. Dollar, although a double-edged sword now hangs above the South African currency. South Africa's Rand was higher against all of the most heavily traded developed and emerging market currencies on Tuesday with the exception of the Indonesian Rupiah, continuing a week-long period of outperformance. Source: https://www.poundsterlinglive.com/zar/15766-south-african-rand-carried-higher-by-ebbing-usd-as- double-edged-sword-hangs-above Accessed: 20/08/21 The performance of the rand reported above is most likely as a result of success in which of the following macroeconomic objectives? a) Price stability b) Economic growth C) Balance of payments stability d) Inflation targeting 1.11 If desired investment exceeds actual investment, then... (4 marks) a) The economy is in a recession. b) Inventories are less than the desired level. c) Inventories are accumulating beyond the desired levels. d) Cyclical unemployment exists

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

New Products Management

Authors: C Merle Crawford

12th Edition

1260512010, 9781260512014

More Books

Students also viewed these Economics questions

Question

7. How can an interpreter influence the utterer (sender)?

Answered: 1 week ago