Question
Which of the following is considered the most active participant in the Foreign Exchange Market (FOREX)? A. Tourists. B. MNEs. C. Central Banks. D. Exporters
Which of the following is considered the most active participant in the Foreign Exchange Market (FOREX)?
A. | Tourists. | |
B. | MNEs. | |
C. | Central Banks. | |
D. | Exporters & Importers. |
Which of the following is considered the major global source for Balance of Payment data?
A. | Indicator- World Bank Data | |
B. | US Treasury Department | |
C. | International Monetary Fund (IMF). | |
D. | Federal Reserve Economic Data (FRED). |
MNE can use balance of payment for all of the following reasons except
A. | imposition on the BoP will result into lower cash flow. | |
B. | predicts political risk of the foreign country. | |
C. | predicts the foreign country market's potential since trade deficit for example will result into lower demand from this MNE. | |
D. | predicting exchange rate movements for international trades. |
which of the following does not justify the failure of the Bretton Woods system?
A. | different inflation rates between countries. | |
B. | all of them justifying the failure. | |
C. | Monetary & Fiscal Policies were different between countries. | |
D. | Unexpected external shocks. |
Since our currency (SAR) is fixed to the US dollar; how would the Saudi Central Bank react when the SAR appreciated?
A. | reducing foreign reserve (purchasing US dollar) and selling SAR. | |
B. | reducing foreign reserve (selling US dollar) and purchasing SAR. | |
C. | Increasing foreign reserve (purchasing US dollar) and selling SAR. | |
D. | Increasing foreign reserve (selling US dollar) and purchasing SAR. |
means when the country ends its own currency and uses a foreign currency for all domestic transactions.
A. | currency board arrangement. | |
B. | Dollarization. | |
C. | Eurodollar. | |
D. | Money market instrument. |
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