approximately one-third came from South America alone. Once a critical element in its recipe for success‚ the company’s international exposure hurt AES during the global economic downturn that began in late 2000. A confluence of factors including the devaluation of key South American currencies‚ adverse changes in energy regulatory environments‚ and declines in energy commodity prices conspired to weaken cash flow at AES subsidiaries and hinder the company’s ability to service subsidiary and parent-level
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position‚ the brand is suffering. Stores aren’t interested in selling the Calvin Klein fabric‚ because they don’t want to send the wrong signals to their customers. The brand is losing its exclusivity‚ because of the counterfeit products. This devaluation of the brand is resulting in stores losing confidence in the possibilities of making profit. Ultimately the problem will end up destroying the company’s revenue. Their chance of making a turnover is minimized‚ when prominent stores turn down their
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AN EXPORT-LED GROWTH STRATEGY Meekal Ahmed * This essay makes no pretence to offer a novel concept or a new development strategy and most economists reading it will probably stifle a yawn and turn the page. Yet it is a subject worth talking about. Many countries round the world‚ most notably the former Asian Tigers‚ China‚ Brazil‚ Turkey and more recently India have followed such a strategy with great success. Pakistan has not and it is well to ask why and what we can do about it. Pakistan has
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DESTEP--ECONOMIC The Kingdom of the Netherlands has not only a heavy reliance on foreign trade and prosperity‚ but also the open economy. It is famous in the world because of its stable labor relations‚ moderate unemployment and inflation‚ a huge current account surplus‚ as well as an important role of European transportation hub. The Netherlands started circulate the euro in 1st ‚ January‚ 2002 together with other 11 contraries of EU. * Purchasing power DEFINITION: Purchasing power is the
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foreign exchange market. Yet another criterion for hard currencies is that the currency comes from a politically and economically stable country such as the U.S. Europe‚ England‚ Australia‚ and/or Japan" (Investopedia). As hard currencies‚ the US dollar‚ European Euro‚ English pound and Japanese yen are all traditionally backed by hard money policy‚ e.g.‚ gold‚ silver‚ bullion or platinum to support or stabilize the value of its currency with a hard‚ tangible‚ and lasting material that retains its
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confidence in their banking system and systematically withdraw all of their savings. The second is an exchange rate crisis where inhabitants become worried about the strength of their currency and exchange it – in the context of this essay‚ into dollars. Thirdly is an external debt crisis which commences from an increase in foreign debt and no more loans are provided to a country as there is some perceived doubt that they will not be able to guarantee investment. The East Asian crisis is particularly
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consumption (future dollars) and current consumption (current dollars) is the pure rate of interest. It is the exchange rate between future consumption (future dollars) and present consumption (current dollars). Market forces determine this rate. The fact that people are willing to pay more for the money borrowed and lenders desire to receive a surplus on their savings (money invested) gives rise to the value of time referred to as the pure time value of money. If there is devaluation of money in
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world. In many areas‚ the housing market also suffered‚ resulting in evictions‚ foreclosures and prolonged unemployment. The crisis played a significant role in the failure of key businesses‚ declines in consumer wealth estimated in trillions of US dollars‚ and a downturn in economic activity leading to the 2008–2012 global recession and contributing to the European sovereign-debt crisis. Causes for the crisis. The immediate cause of the crisis was the bursting of the United States
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The Other Side of Immigration Anyone who is wondering what is the reason behind why so many Mexicans cross the border illegally into the United States should watch this documentary by Roy Germano called‚ “The Other Side of Immigration.” This film addresses the root cause on why this mass migration is taking place and how current policies are affecting the Mexican economy. Although the policies that were passed were to benefit the nations involved‚ Mexico was shown to have experienced more negative
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aimed at avoiding competitive exchange depreciations by requiring members to declare the par values of their currencies fixed in terms of gold or the U.S. dollar. However‚ it permitted an orderly adjustment of exchange rates when this was needed for correcting fundamental disequilibrium in a country’s balance of payments. The recent devaluation of the Indian rupee (in 1966) and that of pound-sterling were justified by the IMF. 2. The IMF also served as an expert institution for consultation and guidance
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