An open economy is one that trades with other nations in goods and services and, most often, also in financial assets. Indians, for instance, enjoy using products produced around the world and some of our production is exported to foreign countries
Now, when goods move across national borders, money must move in the opposite direction. At the international level, there is no single currency that is issued by a central authority. Foreign economic agents will accept a national currency only if they are convinced that the currency will maintain a stable purchasing power.
13% of US output was exported to foreigners in 2006
about what percentage of US output was exported to foreigners in 2006?
Question 14 I. The interest earned on the holding of US government bonds by foreigners: a. would be recorded as a debit (-) in the US capital account b. would be recorded as a credit (+) in the US current account c. would be recorded as a debit (-) in the US current account d. would be recorded as a credit (+) in the US capital account II. The purchase of US government bonds by foreigners: e. would be recorded...
(a) What percentage of U.S. debt do foreigners hold? (See Figure 12.4.)(b) If the interest rate on U.S. Treasury debt is 4 percent, how much interest do foreigners collect each year from the U.S. Treasury? (Assume a total debt of $18 trillion.)FIGURE 12.4: Debt OwnershipThe bonds that create the national debt represent wealth that’s owned by bondholders. Almost half of that wealth is held by the U.S. government itself. The private sector in the United States holds only 21 percent...
Indicate what the Purchasing Power Theory tell us about a country with a relatively high rate of inflation, in terms what will normally happen to their currency and trade volumes: (one sentence maximum each) High inflations currency value in foreign exchange relative to other countries: Volume of imported goods: Volume of exported goods:
The output to the right shows the regression of the 2006 cost of living index on the 2007 index for the most expensive cities in the world. The 2007 index is the response variable. Complete parts a through d below. Predictor Intercept Index 2006 s 3.01 Coeff 12.65 2.142 R-Sq-88.3% SE(Coeff) t-ratio 14.460.87 0.276 7.76 P-value 0.4001 <0.0001 a) State the hypotheses about the slope B Ho. There is linear relationship between the index in 2006 and 2007 (Pn 0)...
In the United States, exports of goods and services accounted for about what percentage of GDP (total output) in 2011? 6 percent 14 percent 24 percent 42 percent
What is 9. Here are stock market and Treasury bill percentage returns between 2006 and 2010: T-Bill Return Year 2006 2007 2008 2009 2010 Stock Market Return 15.770 5.610 -37.230 28.300 17.160 4.800 4.660 1.600 0.100 0.120 a. What was the risk premium on common stock in each year? b. What was the average risk premium? c. What was the standard deviation of the risk premium? d. What is the coefficient of variation?
QUESTION 9 What percentage of the US federal budget is devoted to health care services, and is that percentage similar to that of other OECD countries? • Approximately 18% which is twice that of most OECD countries Approximately 50%, which is 5 times that of other OECD countries Approximately 40%, which is three times the percentage of other OECD countries Approximately 10%. Which is about the same as other OECD countries 5 points Soved QUESTION 10 Outside of potable water...
Figure 17.26 depicts the US aggregate demand between 2006 Q2 and 2010 Q4. Based on this information, which of the following statements is correct? Consumption Residential investment Non-residential investment Government consumption and investment Net exports Recession Contribution to real GDP growth (percentage points at annual rate) -1.8 Onset of the crisis: 2006 Q2-2007 Q4 Crisis: 2008 Q1-2009 Q2 Recovery 2009 Q3-2010 Q4 o In the recession, not only did households stop purchasing new houses and other consumption goods, but also...
Please explain why you got your answer 4. What percentage of the US federal budget is devoted to health care services, and is that percentage similar to that of other OECD countries? a) approximately 50%, which is 5 times that of other OECD cou-ntries. b) approximately 10%, which is about the same as other OECD countries. c) approximately 40%, which is three times the percentage of other OECD countries. d) approximately 18%, which is twice, or more than that of...
5. What percentage of cases diagnosed in 2006 were related to some type of sexual contact? A 83 percent B. 99 percent C. 16 percent D. 25 percent 6. Which age group had the most cases of HIV diagnosed in 2006? A. 75-80 years B. 40 - 55 years C. 15 - 30 years D. 24 - 54 years 7. Which ethnic group was diagnosed with the most cases of HIV in 2006? A Caucasian B American Indian C African...