FIN340 304 Tutorial week 3 Questions 1. How can a central bank use direct intervention to change the value of a currency? Explain why a central bank may desire to smooth exchange rate movements of its currency.. 2. Should the governments of Asian countries allow their currencies to float freely? What would be the advantages of letting their currencies float freely? What would be the disadvantages? 3. What is the impact of a weak home currency on the home economy‚ other things
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of bankers‚ central bank official said that Libor rate manipulation scandal was a turning point‚ and salaries and bonuses are about to fall‚ although "there is a long way" until they reach acceptable levels. "In 1980‚ a regular investment banker was paid about the same as a lawyer or doctor. By 2006‚ however‚ the bankers were paid four times as much. This has created a large gap that currently is gradually eroding‚" said Haldane . Libor rate manipulation: The Libor scandal is a series of fraudulent
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The Rate of a Reaction Chemical Kinetics is the area of Chemistry that is concerned with the speed‚ rate or mechanism at which a chemical reaction occurs. Reaction Rate is the change in the concentration of a reactant or product with time (i.e. M/s). It measures how fast a reactant is consumed and how fast a product is formed. 1.2 WRITING RATE EXPRESSIONS Consider the following hypothetical reaction. A + 2B ( 3C + D Rate = - rate of consumption of A = -[pic]rate of
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concentration of a species can affect reaction rate in the determination of rate law and rate constant. 2. To determine how temperature affects reaction rate. Introduction Chemical kinetics deals with the speed‚ or rate‚ of a reaction and the mechanism by which the reaction occurs. We can think of the rate as the number of events per unit time. The rate at which you drive (your speed) is the number of miles you drive in an hour (mi/hr). For a chemical reaction the rate is the number of moles that react
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interest rates As a result of our current economic situation‚ the bank is contemplating lowering interest rates to a monumental level. They are suggesting we make them negative. This would mean it would cost money to save money; the intention behind this is to stimulate spending within the economy. If businesses are forced to spend more money‚ then aggregate demand shifts to the right as investment‚ one of the components of AD‚ has been increased. Although‚ the interest rate isn’t simply one rate it
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Banking Concept: Simplifying RBI Key Policy Rates What are the key policy rates used by RBI to influence interest rates? The key policy or ’signalling’ rates include the bank rate‚ the repo rate‚ the reverse repo rate‚ the cash reserve ratio (CRR) and the statutory liquidity ratio (SLR). RBI increases its key policy rates when there is greater volume of money in the economy. In other words‚ when too much money is chasing the same or lesser quantity of goods and services. Conversely‚ when there
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This lab focused on three factors affecting reaction rates‚ temperature‚ surface area‚ and concentration. Our first experiment (table 1) looked mainly into the effects of temperature on the reaction rate. To see how different temperatures would change the reaction rates we had three flasks all containing varying temperatures of water(H20). One with cold water (4°C)‚ one room temperature (21°C)‚ and one with hot water (44°C). In each flask‚ we dropped one tablet of Alka-Seltzer‚ all within 0.008 grams
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Exchange rate determination is Two-way process and following are factors that Influence Exchange Rates Floating rates are determined by the market forces of supply and demand. How much demand there is in relation to supply of a currency will determine that currency ’s value in relation to another currency. For example‚ if the demand for U.S. dollars by Europeans increases‚ the supply-demand relationship will cause an increase in price of the U.S. dollar in relation to the euro. There are countless
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P6–1 Interest rate fundamentals: The real rate of return Carl Foster‚ a trainee at an Investment banking firm‚ is trying to get an idea of what real rate of return investors Are expecting in today’s marketplace. He has looked up the rate paid on 3-month U.S. Treasury bills and found it to be 5.5%. He has decided to use the rate of change In the Consumer Price Index as a proxy for the inflationary expectations of Investors. That annualized rate now stands at 3%. On the basis of the information
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selecting variables In this lab‚ we will be studying the difference of heart rate between boys and girls. There are many things that can increase heart rate‚ such as exercise‚ drinking coffee‚ taking certain pills‚ drinking an energy drink‚ feeling a strong emotion‚ etc. I have chosen to use exercise as a means of increasing the heart rate of my subjects‚ more precisely‚ 20 sit-ups. There are many reasons why your heart rate increases when you exercise‚ the most important one being that your muscles
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