国际金融 第14版 (托马斯.A.普格尔 著) 中国人民大学出版社 2--11章 课后答案 21页

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课后答案网：www.hackshp.cn《国际金融》课后题的答案，托马斯-A-普格尔主编。SuggestedSuggeSuggestedSuggestedAnswerstedAnsweAnswerAnswerforrforforInternationalInterInternationalInternationalFinancenationalFinanFinanceceChapChChap2ap22.Disagree,atleastasageneralstatement.Onemeaningofacurrentaccountsurplusisthatthecountryisexportingmoregoodsandservicesthanitisimporting.Onemighteasilyjudgethatthisisnotgood—thecountryisproducinggoodsandservicesthatareexported,butthecountryisnotatthesametimegettingtheimportsofgoodsandservicesthatwouldallowitdomoreconsumptionanddomesticinvestment.Inthiswayacurrentaccountdeficitmightbeconsideredgood—theextraimportsallowthecountrytoconsumeandinvestdomesticallymorethanthevalueofitscurrentproduction.Anothermeaningofacurrentaccountsurplusisthatthecountryisengaginginforeignfinancialinvestment—itisbuildingupitsclaimsonforeigners,andthisaddstonationalwealth.Thissoundsgood,butasnotedaboveitcomesatthecostofforegoingcurrentdomesticpurchasesofgoodsandservices.Acurrentaccountdeficitisthecountryrunningdownitsclaimsonforeignersorincreasingitsindebtednesstoforeigners.Thissoundsbad,butitcomeswiththebenefitofhigherlevelsofcurrentdomesticexpenditure.Differentcountriesatdifferenttimesmayweighthebalanceofthesecostsandbenefitsdifferently,sothatwecannotsimplysaythatacurrentaccountsurplusisbetterthanacurrentaccountdeficit.课后答案网4.Disagree.Ifthecountryhasasurplus(apositivevalue)foritsofficialsettlementsbalance,thenthevalueforitsofficialreservesbalancemustbeanegativevalueofthesameamount(sothatthetwoaddtozero).Anegativevalueforthisassetitemmeansthatfundsareflowingoutinorderforthecountrytoacquiremoreofthesekindsofassets.Thus,thecountryisincreasingitsholdingsofofficialreserveassets.www.hackshp.cn6.ItemeisatransactioninwhichforeignofficialholdingsofU.S.assetsincrease.Thisisapositive(credit)itemforofficialreserveassetsandanegative(debit)itemforprivatecapitalflowsastheU.S.bankacquirespoundbankdeposits.ThedebititemcontributestoaU.S.deficitintheofficialsettlementsbalance(whilethecredititemisrecorded"belowtheline,"permittingtheofficialsettlementsbalancetobeindeficit).Allothertransactionsinvolvedebitandcredititemsbothofwhichareincludedintheofficialsettlementsbalance,sothattheydonotdirectlycontributetoadeficit(orsurplus)intheofficialsettlementsbalance.8.a.Merchandisetradebalance:$330-198=$132Goodsandservicesbalance:$330-198+196-204=$124-1-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnCurrentaccountbalance:$330-198+196-204+3-8=$119Officialsettlementsbalance:$330-198+196-204+3-8+102-202+4=$23b.Changeinofficialreserveassets(net)=-officialsettlementsbalance=-$23.Thecountryisincreasingitsnetholdingsofofficialreserveassets.10.a.Internationalinvestmentposition(billions):$30+20+15-40-25=$0.Thecountryisneitheraninternationalcreditornoradebtor.Itsholdingofinternationalassetsequalsitsliabilitiestoforeigners.b.Acurrentaccountsurpluspermitsthecountrytoaddtoitsnetclaimsonforeigners.Forthisreasonthecountry"sinternationalinvestmentpositionwillbecomeapositivevalue.Theflowincreaseinnetforeignassetsresultsinthestockofnetforeignassetsbecomingpositive.ChapChChap3ap32.Exportsofmerchandiseandservicesresultinsupplyofforeigncurrencyintheforeignexchangemarket.Domesticsellersoftenwanttobepaidusingdomesticcurrency,whiletheforeignbuyerswanttopayintheircurrency.Intheprocessofpayingfortheseexports,foreigncurrencyisexchangedfordomesticcurrency,creatingsupplyofforeigncurrency.Internationalcapitalinflowsresultinasupplyofforeigncurrencyintheforeignexchangemarket.Inmakinginvestmentsindomesticfinancialassets,foreigninvestorsoftenstartwithforeigncurrencyandmustexchange课后答案网itfordomesticcurrencybeforetheycanbuythedomesticassets.Theexchangecreatesasupplyofforeigncurrency.Salesofforeignfinancialassetsthatthecountry"sresidentshadpreviouslyacquired,andborrowingfromforeignersbythiscountry"sresidentsareotherformsofcapitalinflowthatcancreatesupplyofforeigncurrency.www.hackshp.cn4.TheU.S.firmobtainsaquotationfromitsbankonthespotexchangerateforbuyingyenwithdollars.Iftherateisacceptable,thefirminstructsitsbankthatitwantstousedollarsfromitsdollarcheckingaccounttobuy1millionyenatthisspotexchangerate.ItalsoinstructsitsbanktosendtheyentothebankaccountoftheJapanesefirm.Tocarryoutthisinstruction,theU.S.bankinstructsitscorrespondentbankinJapantotake1millionyenfromitsaccountatthecorrespondentbankandtransfertheyentothebankaccountoftheJapanesefirm.(TheU.S.bankcouldalsouseyenatitsownbranchifithasabranchinJapan.)6.Thetraderwouldseekoutthebestquotedspotrateforbuyingeuroswithdollars,eitherthroughdirectcontactwithtradersatotherbanksorbyusingtheservicesofaforeignexchangebroker.Thetraderwouldusethebestratetobuyeurospot.Sometimeinthenexthourorso(or,typicallyatleastbytheendoftheday),thetraderwillenterthe-2-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cninterbankmarketagain,toobtainthebestquotedspotrateforsellingeurosfordollars.Thetraderwillusethebestspotratetosellherpreviouslyacquiredeuros.Ifthespotvalueoftheeurohasrisenduringthisshorttime,thetradermakesaprofit.8.a.Thecrossratebetweentheyenandthekroneistoohigh(theyenvalueofthekroneistoohigh)relativetothedollar-foreigncurrencyexchangerates.Thus,inaprofitabletriangulararbitrage,youwanttosellkroneratthehighcrossrate.Thearbitragewillbe:Usedollarstobuykronerat$0.20/krone,usethesekronertobuyyenat25yen/krone,andusetheyentobuydollarsat$0.01/yen.Foreachdollarthatyousellinitially,youcanobtain5kroner,these5kronercanobtain125yen,andthe125yencanobtain$1.25.Thearbitrageprofitforeachdollaristherefore25cents.b.Sellingkronertobuyyenputsdownwardpressureonthecrossrate(theyenpriceofkrone).Thevalueofthecrossratemustfallto20(=0.20/0.01)yen/kronetoeliminatetheopportunityfortriangulararbitrage,assumingthatthedollarexchangeratesareunchanged.10.a.TheincreaseinsupplyofSwissfrancsputsdownwardpressureontheexchange-ratevalue($/SFr)ofthefranc.ThemonetaryauthoritiesmustintervenetodefendthefixedexchangeratebybuyingSFrandsellingdollars.b.Theincreaseinsupplyoffrancsputsdownwardpressureontheexchange-ratevalue($/SFr)ofthefranc.ThemonetaryauthoritiesmustintervenetodefendthefixedexchangeratebybuyingSFrandsellingdollars.c.Theincreaseinsupplyoffrancsputsdownwardpressureontheexchange-ratevalue($/SFr)ofthefranc.Themonetaryauthoritiesmustintervenetodefendthefixed课后答案网exchangeratebybuyingSFrandsellingdollars.d.Thedecreaseindemandforfrancsputsdownwardpressureontheexchange-ratevalue($/SFr)ofthefranc.ThemonetaryauthoritiesmustintervenetodefendthefixedexchangeratebybuyingSFrandsellingdollars.www.hackshp.cnChapChChap4ap42.Youwillneeddataonfourmarketrates:Thecurrentinterestrate(oryield)onbondsissuedbytheU.S.governmentthatmatureinoneyear,thecurrentinterestrate(oryield)onbondsissuedbytheBritishgovernmentthatmatureinoneyear,thecurrentspotexchangeratebetweenthedollarandpound,andthecurrentone-yearforwardexchangeratebetweenthedollarandpound.Dotheseratesresultinacoveredinterestdifferentialthatisveryclosetozero?-3-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cn4.a.TheU.S.firmhasanassetpositioninyen—ithasalongpositioninyen.Tohedgeitsexposuretoexchangeraterisk,thefirmshouldenterintoaforwardexchangecontractnowinwhichthefirmcommitstosellyenandreceivedollarsatthecurrentforwardrate.Thecontractamountsaretosell1millionyenandreceive$9,000,bothin60days.b.Thestudenthasanassetpositioninyen—alongpositioninyen.Tohedgetheexposuretoexchangeraterisk,thestudentshouldenterintoaforwardexchangecontractnowinwhichthestudentcommitstosellyenandreceivedollarsatthecurrentforwardrate.Thecontractamountsaretosell10millionyenandreceive$90,000,bothin60days.c.TheU.S.firmhasanliabilitypositioninyen—ashortpositioninyen.Tohedgeitsexposuretoexchangeraterisk,thefirmshouldenterintoaforwardexchangecontractnowinwhichthefirmcommitstoselldollarsandreceiveyenatthecurrentforwardrate.Thecontractamountsaretosell$900,000andreceive100millionyen,bothin60days.6.Relativetoyourexpectedspotvalueoftheeuroin90days($1.22/euro),thecurrentforwardrateoftheeuro($1.18/euro)islow—theforwardvalueoftheeuroisrelativelylow.Usingtheprincipleof"buylow,sellhigh,"youcanspeculatebyenteringintoaforwardcontractnowtobuyeurosat$1.18/euro.Ifyouarecorrectinyourexpectation,thenin90daysyouwillbeabletoimmediatelyresellthoseeurosfor$1.22/euro,pocketingaprofitof$0.04foreacheurothatyouboughtforward.Ifmanypeoplespeculateinthisway,thenmassivepurchasesnowofeurosforward(increasingthedemandforeurosforward)willtendtodriveuptheforwardvalueoftheeuro,towardacurrentforwardrateof$1.22/euro.8.a.TheSwissfrancisataforwardpremium.Itscurrentforwardvalue($0.505/SFr)isgreaterthanitscurrentspotvalue($0.500/SFr).课后答案网b.Thecoveredinterestdifferential"infavorofSwitzerland"is((1+0.005)⋅(0.505)/0.500)-(1+0.01)=0.005.(Notethattheinterestrateusedmustmatchthetimeperiodoftheinvestment.)Thereisacoveredinterestdifferentialof0.5%for30days(6percentatanannualrate).TheU.S.investorcanmakeahigherreturn,coveredagainstexchangeratewww.hackshp.cnrisk,byinvestinginSFr-denominatedbonds,sopresumablytheinvestorshouldmakethiscoveredinvestment.AlthoughtheinterestrateonSFr-denominatedbondsislowerthantheinterestrateondollar-denominatedbonds,theforwardpremiumonthefrancislargerthanthisdifference,sothatthecoveredinvestmentisagoodidea.c.Thelackofdemandfordollar-denominatedbonds(orthesupplyofthesebondsasinvestorsselltheminordertoshiftintoSFr-denominatedbonds)putsdownwardpressureonthepricesofU.S.bonds—upwardpressureonU.S.interestrates.Theextrademandforthefrancinthespotexchangemarket(asinvestorsbuySFrinordertobuySFr-denominatedbonds)putsupwardpressureonthespotexchangerate.TheextrademandforSFr-denominatedbondsputsupwardpressureonthepricesofSwissbonds—downwardpressureonSwissinterestrates.Theextrasupplyoffrancsinthe-4-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnforwardmarket(asU.S.investorscovertheirSFrinvestmentsbackintodollars)putsdownwardpressureontheforwardexchangerate.Iftheonlyratethatchangesistheforwardexchangerate,thisratemustfalltoabout$0.5025/SFr.Withthisforwardrateandtheotherinitialrates,thecoveredinterestdifferentialisclosetozero.10.Intestingcoveredinterestparity,alloftheinterestratesandexchangeratesthatareneededtocalculatethecoveredinterestdifferentialareratesthatcanobservedinthebondandforeignexchangemarkets.Determiningwhetherthecoveredinterestdifferentialisaboutzero(coveredinterestparity)isthenstraightforward(althoughsomemoresubtleissuesregardingtimingoftransactionsmayalsoneedtobeaddressed).Inordertotestuncoveredinterestparity,weneedtoknownotonlythreerates—twointerestratesandthecurrentspotexchangerate—thatcanbeobservedinthemarket,butalsoonerate—theexpectedfuturespotexchangerate—thatisnotobservedinanymarket.Thetesterthenneedsawaytofindoutaboutinvestors"expectations.Onewayistoaskthem,usingasurvey,buttheymaynotsayexactlywhattheyreallythink.Anotherwayistoexaminetheactualuncoveredinterestdifferentialafterweknowwhatthefuturespotexchangerateactuallyturnsouttobe,andseewhetherthestatisticalcharacteristicsoftheactualuncovereddifferentialareconsistentwithanexpecteduncovereddifferentialofaboutzero(uncoveredinterestparity).ChapChChap5ap52.a.Theeuroisexpectedtoappreciateatanannualrateofapproximately((1.005-课后答案网1.000)/1.000)⋅(360/180)⋅100=1%.Theexpecteduncoveredinterestdifferentialisapproximately3%+1%-4%=0,souncoveredinterestparityholds(approximately).b.Iftheinterestrateon180-daydollar-denominatedbondsdeclinesto3%,thenthespotexchangerateislikelytoincrease—theeurowillappreciate,thedollardepreciate.Atthewww.hackshp.cninitialcurrentspotexchangerate,theinitialexpectedfuturespotexchangerate,andtheinitialeurointerestrate,theexpecteduncoveredinterestdifferentialshiftsinfavorofinvestingineuro-denominatedbonds(theexpecteduncovereddifferentialisnowpositive,3%+1%-3%=1%,favoringuncoveredinvestmentineuro-denominatedbonds.Theincreaseddemandforeurosinthespotexchangemarkettendstoappreciatetheeuro.Iftheeurointerestrateandtheexpectedfuturespotexchangerateremainunchanged,thenthecurrentspotratemustchangeimmediatelytobe$1.005/euro,toreestablishuncoveredinterestparity.Whenthecurrentspotratejumpstothisvalue,theeuro"sexchangeratevalueisnotexpectedtochangeinvaluesubsequentlyduringthenext180days.Thedollarhasdepreciatedimmediately,andtheuncovereddifferentialthenagainiszero(3%+0%-3%=0).-5-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cn4.a.Foruncoveredinterestparitytohold,investorsmustexpectthattherateofchangeinthespotexchange-ratevalueoftheyenequalstheinterestratedifferential,whichiszero.Investorsmustexpectthatthefuturespotvalueisthesameasthecurrentspotvalue,$0.01/yen.b.Ifinvestorsexpectthattheexchangeratewillbe$0.0095/yen,thentheyexpecttheyentodepreciatefromitsinitialspotvalueduringthenext90days.Giventheotherrates,investorstendtoshifttheirinvestmentstowarddollar-denominatedinvestments.Theextrasupplyofyen(anddemandfordollars)inthespotexchangemarketresultsinadecreaseinthecurrentspotvalueoftheyen(thedollarappreciates).Theshifttoexpectingthattheyenwilldepreciate(thedollarappreciate)sometimeduringthenext90daystendstocausetheyentodepreciate(thedollartoappreciate)immediatelyinthecurrentspotmarket.6.Thelawofonepricewillholdbetterforgold.Goldcanbetradedeasilysothatanypricedifferenceswouldleadtoarbitragethatwouldtendtopushgoldprices(statedinacommoncurrencybyconvertingpricesusingmarketexchangerates)backclosetoequality.BigMacscannotbearbitraged.Ifpricedifferencesexist,thereisnoarbitragepressure,sothepricedifferencescanpersist.ThepricesofBigMacs(statedinacommoncurrency)varywidelyaroundtheworld.8.AccordingtoPPP,theexchangeratevalueoftheDM(relativetothedollar)hasrisensincetheearly1970sbecauseGermanyhasexperiencedlessinflationthanhastheUnitedStates—theproductpricelevelhasrisenlessinGermanysincetheearly1970sthanithasrisenintheUnitedStates.Accordingtothemonetaryapproach,theGermanpricelevelhasnotrisenasmuchbecausetheGermanmoneysupplyhasincreasedlessthanthemoneysupplyhasincreased课后答案网intheUnitedStates,relativetothegrowthratesofrealdomesticproductioninthetwocountries.TheBritishpoundistheoppositecase—moreinflationinBritainthanintheUnitedStates,andhighermoneygrowthinBritain.10.a.Becausethegrowthrateofthedomesticmoneysupply(Ms)istwopercentagepointshigherthanitwaspreviously,themonetaryapproachindicatesthattheexchangeratewww.hackshp.cnvalue(e)oftheforeigncurrencywillbehigherthanitotherwisewouldbe—thatis,theexchangeratevalueofthecountry"scurrencywillbelower.Specifically,theforeigncurrencywillappreciatebytwopercentagepointsmoreperyear,ordepreciatebytwopercentagepointsless.Thatis,thedomesticcurrencywilldepreciatebytwopercentagepointsmoreperyear,orappreciatebytwopercentagepointsless.b.Thefastergrowthofthecountry"smoneysupplyeventuallyleadstoafasterrateofinflationofthedomesticpricelevel(P).Specifically,theinflationratewillbetwopercentagepointshigherthanitotherwisewouldbe.AccordingtorelativePPP,afasterrateofincreaseinthedomesticpricelevel(P)leadstoahigherrateofappreciationoftheforeigncurrency.-6-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cn12.a.FortheUnitedStatesin1975,20,000=k⋅100⋅800,ork=0.25.ForPugeloviain1975,10,000=k⋅100⋅200,ork=0.5.b.FortheUnitedStates,thequantitytheoryofmoneywithaconstantkmeansthatthequantityequationwithk=0.25shouldholdin2002:65,000=0.25⋅260⋅1,000.Itdoes.Becausethequantityequationholdsforbothyearswiththesamek,thechangeinthepricelevelfrom1975to2002isconsistentwiththequantitytheoryofmoneywithaconstantk.Similarly,forPugelovia,thequantityequationwithk=0.5shouldholdfor2002,anditdoes(58,500=0.5⋅390⋅300).14.a.Thetighteningtypicallyleadstoanimmediateincreaseinthecountry"sinterestrates.Inaddition,thetighteningprobablyalsoresultsininvestors"expectingthattheexchange-ratevalueofthecountry"scurrencyislikelytobehigherinthefuture.Thehigherexpectedexchange-ratevalueforthecurrencyisbasedontheexpectationthatthecountry"spricelevelwillbelowerinthefuture,andPPPindicatesthatthecurrencywillthenbestronger.Forbothofthesereasons,internationalinvestorswillshifttowardinvestinginthiscountry"sbonds.Theincreaseindemandforthecountry"scurrencyinthespotexchangemarketcausesthecurrentexchange-ratevalueofthecurrencytoincrease.Thecurrencymayappreciatealotbecausethecurrentexchangeratemust"overshoot"itsexpectedfuturespotvalue.Uncoveredinterestparityisreestablishedwithahigherinterestrateandasubsequentexpecteddepreciationofthecurrency.b.Ifeverythingelseisrathersteady,theexchangerate(thedomesticcurrencypriceofforeigncurrency)islikelytodecreasequicklybyalargeamount.Afterthisjump,theexchangeratemaythenincreasegraduallytowarditslong-runvalue—thevalueconsistentwithPPP课后答案网inthelongrun.ChapChChap6ap6www.hackshp.cn2.Weoftenusethetermpeggedexchangeratetorefertoafixedexchangerate,becausefixedratesgenerallyarenotfixedforever.Anadjustablepegisanexchangeratepolicyinwhichthe"fixed"exchangeratevalueofacurrencycanbechangedfromtimetotime,butusuallyitischangedratherseldom(forinstance,notmorethanonceeveryseveralyears).Acrawlingpegisanexchangeratepolicyinwhichthe"fixed"exchangeratevalueofacurrencyischangedoften(forinstance,weeklyormonthly),sometimesaccordingtoindicatorssuchasthedifferenceininflationrates.4.Disagree.Ifacountryisexpectedtoimposeexchangecontrols,whichusuallymakeitmoredifficulttomovefundsoutofthecountryinthefuture,investorsarelikelytotrytoshiftfundsoutofthecountrynowbeforethecontrolsareimposed.Theincreaseinsupplyofdomesticcurrencyintotheforeignexchangemarket(orincreaseindemandforforeign-7-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cncurrency)putsdownwardpressureontheexchangeratevalueofthecountry"scurrency—thecurrencytendstodepreciate.6.a.Themarketisattemptingtodepreciatethepnut(appreciatethedollar)towardavalueof3.5pnutsperdollar,whichisoutsideofthetopoftheallowableband(3.06pnutsperdollar).Inordertodefendthepeggedexchangerate,thePugelovianmonetaryauthoritiescoulduseofficialinterventiontobuypnuts(inexchangefordollars).Buyingpnutspreventsthepnut’svaluefromdeclining(sellingdollarspreventsthedollar’svaluefromrising).Theinterventionsatisfiestheexcessprivatedemandfordollarsatthecurrentpeggedexchangerate.b.Inordertodefendthepeggedexchangerate,thePugeloviangovernmentcouldimposeexchangecontrolsinwhichsomeprivateindividualswhowanttosellpnutsandbuydollarsaretoldthattheycannotlegallydothis(orcannotdothiswithoutgovernmentpermission,andnotallrequestsareapprovedbythegovernment).Byartificiallyrestrictingthesupplyofpnuts(andthedemandfordollars),thePugeloviangovernmentcanforcetheremainingprivatesupplyanddemandto"clear"withintheallowableband.Theexchangecontrolsattempttostifletheexcessprivatedemandfordollarsatthecurrentpeggedexchangerate.c.Inordertodefendthepeggedexchangerate,thePugeloviangovernmentcouldincreasedomesticinterestrates(perhapsbyalot).ThehigherdomesticinterestratesshifttheincentivesforinternationalcapitalflowstowardinvestmentsinPugelovianbonds.TheincreasedflowofinternationalfinancialcapitalintoPugeloviaincreasesthedemandforpnutsontheforeignexchangemarket.(Also,thedecreasedflowofinternationalfinancialcapitaloutofPugeloviareducesthesupplyofpnutsontheforeignexchangemarket.)Byincreasingthedemandforpnuts(anddecreasingthesupply),thePugeloviangovernment课后答案网caninducetheprivatemarkettoclearwithintheallowableband.Theincreaseddomesticinterestratesattempttoshifttheprivatesupplyanddemandcurvessothatthereisnoexcessprivatedemandfordollarsatthecurrentpeggedexchangeratevalue.8.a.Thegoldstandardwasafixedratesystem.Thegovernmentofeachcountryparticipatingwww.hackshp.cninthesystemagreedtobuyorsellgoldinexchangeforitsowncurrencyatafixedpriceofgold(intermsofitsowncurrency).Becauseeachcurrencywasfixedtogold,theexchangeratesbetweencurrenciesalsotendedtobefixed,becauseindividualscouldarbitragebetweengoldandcurrenciesifthecurrencyexchangeratesdeviatedfromthoseimpliedbythefixedgoldprices.b.Britainwascentraltothesystem,becausetheBritisheconomywastheleaderinindustrializationandworldtrade,andbecauseBritainwasconsideredfinanciallysecureandprudent.Britainwasableandwillingtorunpaymentsdeficitsthatpermittedmanyothercountriestorunpaymentssurpluses.Theothercountriesusedtheirsurplusestobuilduptheirholdingsofgoldreserves(andofinternationalreservesintheformofsterling-denominatedassets).Theseothercountriesweresatisfiedwiththerateofgrowth-8-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnoftheirholdingsofliquidreserveassets,andmostcountrieswereabletoavoidthecrisisofrunninglowoninternationalreserves.c.Duringtheheightofthegoldstandard,fromabout1870to1914,theeconomicshockstothesystemweremild.Amajorshock—WorldWarI—causedmanycountriestosuspendthegoldstandard.d.Speculationwasgenerallystabilizing,bothfortheexchangeratesbetweenthecurrenciesofcountriesthatwereadheringtothegoldstandard,andfortheexchangeratesofcountriesthattemporarilyallowedtheircurrenciestofloat.10.a.TheBrettonWoodssystemwasanadjustablepeggedexchangeratesystem.Countriescommittedtosetanddefendfixedexchangerates,financingtemporarypaymentsimbalancesoutoftheirofficialreserveholdings.Ifa"fundamentaldisequilibrium"inacountry"sinternationalpaymentsdeveloped,thecountrycouldchangethevalueofitsfixedexchangeratetoanewvalue.b.TheUnitedStateswascentraltothesystem.AstheBrettonWoodssystemevolved,itbecameessentiallyagold-exchangestandard.ThemonetaryauthoritiesofothercountriescommittedtopegtheexchangeratevaluesoftheircurrenciestotheU.S.dollar.TheU.S.monetaryauthoritycommittedtobuyandsellgoldinexchangefordollarswithothercountries"monetaryauthoritiesatafixeddollarpriceofgold.c.Toalargeextentspeculationwasstabilizing,bothforthefixedratesfollowedbymostcountries,andfortheexchangeratevalueoftheCanadiandollar,whichfloatedduring1950-62.However,thepeggedexchangeratevaluesofcurrenciessometimesdidcomeunderspeculativepressure.Internationalinvestorsandspeculatorssometimesbelieved课后答案网thattheyhadaone-wayspeculativebetagainstcurrenciesthatwereconsideredtobe"introuble.”Ifthecountrydidmanagetodefendthepeggedexchangeratevalueofitscurrency,theinvestorsbettingagainstthecurrencywouldloselittle.Theystoodtogainalotofprofitifthecurrencywasdevalued.Furthermore,thelargespeculativeflowsagainstthecurrencyrequiredlargeinterventionstodefendthecurrency"speggedvalue,sothatwww.hackshp.cnthegovernmentwasmorelikelytorunsolowonofficialreservesthatitwasforcedtodevalue.12.a.Thedollarblocandtheeurobloc.AnumberofcountriespegtheircurrenciestotheU.S.dollar.AnumberofEuropeancountriesusetheeuro,and,inaddition,anumberofothercountriespegtheircurrenciestotheeuro.b.Theothermajorcurrenciesthatfloatindependentlyinclude(asofthebeginningof2002)theJapaneseyen,theBritishpound,theCanadiandollar,andtheSwissfranc.c.TheexchangeratesbetweentheU.S.dollarandtheothermajorcurrencieshavebeenfloatingsincetheearly1970s.Themovementsintheseratesexhibittrendsinthelong-9-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnrun—overtheentireperiodsincetheearly1970s.Theratesalsoshowsubstantialvariabilityorvolatilityintheshortandmediumruns—periodsoflessthanoneyeartoperiodsofseveralyears.Thelongruntrendsappeartobereasonablyconsistentwiththeeconomicfundamentalsemphasizedbypurchasingpowerparity—differencesinnationalinflationrates.Thevariabilityorvolatilityintheshortormediumruniscontroversial.Itmaysimplyrepresentrationalresponsestothecontinuingflowofeconomicandpoliticalnewsthathasimplicationsforexchangeratevalues.Theeffectsonratescanbelargeandrapid,becauseovershootingoccursasratesrespondtoimportantnews.However,somepartofthelargevolatilitymayalsoreflectspeculativebandwagonsthatleadtobubblesthatsubsequentlyburst.ChapChChap8ap82.Disagree.TherecessionintheUnitedStatesreducesU.S.nationalincome,soU.S.residentsreducespendingonallkindsofthings,includingspendingonimports.ThedecreaseinU.S.importsisadecreaseintheexportsofothercountries,includingEurope’sexportstotheUnitedStates.ThereductioninEuropeanexportsreducesproductioninEurope,sothegrowthofrealGDPinEuropedeclines.ArecessionintheUnitedStatesislikelytolowerthegrowthofEuropeanrealGDP.4.a.Thespendingmultiplierinthissmallopeneconomyisabout1.82(=1/(0.15+0.4)).Ifrealspendinginitiallydeclinesby$2billion,thendomesticproductandincomewilldeclinebyabout$3.64billion(=1.82×$2billion)b.Ifdomesticproductandincomedeclineby$3.64billion,thenthecountry"simportswill课后答案网declinebyabout$1.46billion(=$3.64billion×0.4).c.Thedecreaseinthiscountry"simportsreducesothercountries"exports,soforeignproductandincomedecline.www.hackshp.cnd.Thedeclineinforeignproductandincomereduceforeignimports,sothefirstcountry"sexportsdecrease.Thisreinforcesthechange(decline)inthefirstcountry"sdomesticproductandincome—anexampleofforeign-incomerepercussions.6.Externalbalanceistheachievementofareasonableandsustainablemakeupofacountry"soverallbalanceofpaymentswiththerestoftheworld.Whilespecifyingaprecisegoalisnotsimple,weoftenpresumethatachievingabalanceofapproximatelyzeroinacountry"sofficialsettlementsbalanceisexternalbalance.TheFEcurveshowsallcombinationsofinterestrateanddomesticproductthatresultinazerobalanceforthecountry"sofficialsettlementsbalance.Thus,anypointontheFEcurveisconsistentwiththisconceptofexternalbalance.-10-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cn8.a.Adecreaseingovernmentspendingtendstodecreasedomesticproduct(anddecreaseinterestratesbecausethegovernmenthastoborrowlesswhenithasasmallerbudgetdeficit).Thus,theIScurveshiftstotheleft(ordown).b.Anincreaseinforeigndemandforthecountry"sexportsincreasesthecountry"sdomesticproduct.Thus,theIScurveshiftstotheright(orup).c.AnincreaseintheinterestratedoesnotshifttheIScurve.Rather,itresultsinamovementalongtheIScurve.10.a.Importsincrease,accordingtothemarginalpropensitytoimport.b.Ourexportsdecrease,asforeignimportsdecreaseaccordingtotheforeignmarginalpropensitytoimport.c.Thismakesourproductsrelativelymoreexpensive,andforeignproductsrelativelylessexpensive.Therelativepriceofforeignproducts(ortherealexchangeratevalueofforeigncurrency)Pf⋅e/PdecreasesifPincreases.Thereductioninthepricecompetitivenessofourproductsinternationallytendstodecreaseourexportsandincreaseourimports.d.Thismakesourproductsrelativelylessexpensive.Therelativepriceofforeignproducts(orrealexchangeratevalueofforeigncurrency)Pf⋅e/PincreasesifPfincreasesmorethanP.Theincreaseinthepricecompetitivenessofourproductsinternationallytendstoincreaseourexportsanddecreaseourimports.课后答案网ChapChChap9ap92.Theincreaseingovernmentspendingaffectsboththecurrentaccountandthecapitalwww.hackshp.cnaccountofthecountry"sbalanceofpayments.Theincreaseingovernmentspendingincreasesaggregatedemand,production,andincome.Theincreaseinincomeandspendingincreasesthecountry"simports,sothecurrentaccounttendstodeteriorate(tobecomeasmallerpositivevalueoralargernegativevalue).Theincreaseinproduction,income,andspendingincreasesthedemandformoney.Ifthecountry"scentralbankdoesnotpermitthemoneysupplytoexpand,theninterestratesincrease.(Similarly,theincreaseinthegovernmentbudgetdeficitrequiresthegovernmenttoborrowmoretofinanceitsdeficit,increasinginterestrates.)Theincreaseininterestratesincreasestheinflowsoffinancialcapitalintothecountry(anddecreasesoutflows),sothatthecapitalaccountimproves.Wearenotsureabouttheeffectofthepolicychangeonthecountry"sofficialsettlementsbalance.Itdependsonthesizesofthechangesinthetwoaccounts.Ifthecapitalaccount-11-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnimprovementislarger(asweoftenexpectintheshortrun),thentheofficialsettlementsbalancegoesintosurplus.Ifthecurrentaccountdeteriorationislarger(asweoftenexpectinthelongrun),thentheofficialsettlementsbalancegoesintodeficit.Iftheofficialsettlementsbalancegoesintosurplus,thenthecentralbankmustdefendthefixedexchangeratethroughinterventionbybuyingforeigncurrencyandsellingdomesticcurrency.Asthecentralbanksellsdomesticcurrency,thisexpandsthedomesticmoneysupplyiftheinterventionisunsterilized.Thisreinforcestheexpansionarythrustoftheincreaseingovernmentspending.Iftheofficialsettlementsbalancegoesintodeficit,thenthecentralbankmustdefendthefixedexchangeratethroughinterventionbysellingforeigncurrencyandbuyingdomesticcurrency.Asthecentralbankbuysdomesticcurrency,thiscontractsthedomesticmoneysupplyiftheinterventionisunsterilized.Thistendstoreducetheexpansionarythrustoftheincreaseingovernmentspending.4.Theassignmentrulesaysthatacountrywithafixedexchangeratecanpursuebothexternalbalanceandinternalbalancebyassigningfiscalpolicythetaskofachievinginternalbalanceandassigningmonetarypolicythetaskofachievingexternalbalance.Thepossibleadvantagesoftheassignmentruleinclude:(1)itprovidesclearguidancetobothtypesofpolicy,sothattheycanaddressmacroeconomicstabilizationevenincasesinwhichapparentpolicydilemmasexist,and(2)itdirectseachtypeofpolicytofocusonthetargetthateachtendstocaremoreabout.Thepossibledisadvantagesoftheassignmentruleinclude:(1)itdependsontheeffectofinterestratesoninternationalcapitalflows,sothatitwillnotworkifcapitalflowsarenotthatresponsivetointerestratechanges,oritmaynotworkbeyondtheshort-runperiod,becauseinthelongruncapitalflowsstoprespondingortendtoreverse,(2)lags课后答案网inpolicyresponsescoulddestabilizetheeconomyratherthanstabilizeit,(3)itmaynotbepoliticallypossibleinsomecountriestorunmonetarypolicyseparatelyfromfiscalpolicy,(4)itmaynotbepoliticallypossibleinsomecountriestorunfiscalpolicytoaddresseconomicobjectivessuchasinternalbalance,and(5)thepolicymixcanresultinhighdomesticinterestratesthatcanreducedomesticrealinvestmentandslowthegrowthofthecountry"ssupplywww.hackshp.cncapabilitiesinthelongrun.6.a.Pugelovianholdingsofofficialinternationalreservesdecreaseby$10billion,adeclineinholdingsofforeign-exchangeassets(assumingthatthePugeloviancentralbankdidnotjustborrowthedollarsusedintheintervention).b.ThePugeloviancentralbankisalsobuyingpnutsintheintervention,sothePugelovianmoneysupplydeclines.Becausethisisremovinghigh-poweredmoneyfromthePugelovianbankingsystem,thePugelovianmoneysupplydecreasesbymorethanthesizeoftheintervention,withtheactualdecreasedependingonthesizeofthemoneymultiplier.-12-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnc.ThePugelovianmoneysupplydoesnotchange(ordoesnotdecreaseasmuch)ifthePugeloviancentralbanksterilizes.Tosterilizetheintervention,thePugeloviancentralbankwouldbuyPugeloviangovernmentbonds.Asthecentralbankpaysforthebonds,itisaddinghigh-poweredPugelovianmoneybackintothebankingsystem.Ifitaddsbacktheamountthatwasremovedbytheintervention,thentheoverallamountofhigh-poweredmoneyintheeconomyisunchanged,andtheregularmoneysupplycanalsobeunchanged.8.a.Ifthecountry"scapitalaccountisalwayszero,thenthecountry"sinterestrateshavenodirecteffectonthecountry"sbalanceofpayments.TheFEcurveisaverticalline.(Thecountry"soverallpaymentsbalanceisthesameasitscurrentaccountbalance.Thecurrentaccountbalanceisaffectedbythecountry"sdomesticproductandincomethroughthedemandforimports,butitisessentiallynotaffecteddirectlybythecountry"sinterestrates.)课后答案网www.hackshp.cn-13-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnb.TheincreaseinforeigndemandforexportsshiftstheIScurvetotherighttoIS"intheaccompanyinggraph.Theshockincreasesdemandforthecountry"sproducts,sodomesticproductandincometendtorise.TheincreaseinforeigndemandforexportsshiftstheFEcurvetotherightalso,toFE".Attheinitiallevelofincomeanddomesticproduct,thecurrentaccountandtheoverallpaymentsbalancegointosurplus.AzerobalancecanbereestablishedonthenewFE"curvebyincreasingimportsthroughanincreaseindomesticproductandincome.TheLMcurveisnotdirectlyaffected,ifthisshockdoesnotdirectlychangemoneysupplyormoneydemand.c.TherightwardshiftoftheIScurveresultsinanewIS"-LMintersectionatE"withsomeincreaseinthelevelofdomesticproduct.Theincreaseindomesticproductandincomealsoincreasesthecountry"simports.Toproceed,let"sexaminethe"normal"caseinwhichthecountrythenhasacurrentaccountandoverallpaymentssurplus,becausetheincreaseinexportsislargerthantheinitialincreaseinimports.ThismeansthattheintersectionoftheoriginalLMcurveandthenewIS"curveistotheleftofthenewFE"curve.Ifthecountry"sofficialsettlementsbalancegoesintosurplus,thenthecountry"scentralbankmustintervenetodefendthefixedexchangeratebybuyingforeigncurrencyandsellingdomesticcurrency.d.Assumingthattheinterventionisnotsterilized,theinterventionincreasesthecountry"smoneysupply.TheLMcurveshiftstotheright(ordown).ThecountryreturnstoexternalbalanceatthetripleintersectionE"whentheLMcurvehasshiftedtoLM".Thecountry"sdomesticproductandincomehaveincreased,fromY0toY1.Ifthecountryinitiallybeganwithahighunemploymentrate,thenthisisamovementtowardinternalbalance.Ifthecountryinitiallybeganwithinternalbalanceorwithaninflationratethatwasconsideredtoohigh,thenthisisamoveawayfrominternalbalance,becausetheextraforeignand课后答案网domesticspendingonthecountry"sproductstendstodrivetheinflationrateupasthestrongerdemandexceedstheeconomy"ssupplycapabilities.10.a.ThevalueofthePugeloviancurrentaccount,measuredinforeigncurrencyunits,is:CA=Pfcfcx⋅X-Pm⋅M.www.hackshp.cnIfthereisnochangeinquantitiesdemanded(XandMareunchanged),thenexportandimportmarketsmustclearatthesamesupplyprices.Pugelovianexportersreceivethesamecompetitiveexportprice(measuredinPugelovianpnuts),sothattheforeign-currencypriceofPugelovianexports(Pfcx)fallswhenthePugeloviancurrencyisdevalued.Also,theforeignsuppliersofPugelovia"simportscontinuetochargethesameforeigncurrencysupplyprice(Pfcmisunchanged).Thus,thePugeloviancurrentaccountdeficitbecomeslarger,becausetheforeign-currencyvalueofPugelovianexportsdeclines,andtheforeign-currencyvalueofPugelovianimportsisunchanged.Becausetheimportdemandelasticitiesarelow(actually,zero),theresponseofthecurrentaccountbalancetothedevaluationisperverse(itdeterioratesratherthanimproves).-14-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnb.IfPugelovianfirmskeeptheirpnutpricesthesame,thenthedevaluationresultsinadecreaseintheforeign-currencypriceofPugelovianexports(Pfcx).Generally,foreignbuyerswillbuyalargerquantityofPugelovianexports(Xincreases).Ifforeignfirmskeeptheforeign-currencypricesoftheirexports(Pfcm)thesame,thenthedevaluationresultsinahigherpnutpriceofimportsinPugelovia.Generally,Pugelovianbuyerswillbuyasmallerquantityofimports(Mfalls).Inthiscase,thePugeloviancurrentaccountcoulddeteriorate,staythesame,orimprove.Giventhepricechanges(especiallythedecreaseintheforeign-currencypriceofPugelovianexports),thechangeinthevalueofthePugeloviancurrentaccountdependsonthesizeoftheresponsesinquantitiesdemanded.Iftheresponsesarelargeenough(XrisesandMfallsenough),thenthevalueofthePugeloviancurrentaccountdeficitwilldecrease(itscurrentaccountwillimprove).Iftheresponsesaresmall(XincreasesandMdecreasesonlyalittle),thenthevalueofthedeficitwillincrease(thecurrentaccountwilldeteriorate).Thequantitychangesarelargerifthepriceelasticitiesofimportdemandinthetwocountriesarelarger(inabsolutevalues).ChapChChap10ap102.Theincreaseingovernmentspendingaffectsboththecurrentaccountandthecapitalaccountofthecountry"sbalanceofpayments.Theincreaseingovernmentspendingincreasesaggregatedemand,production,andincome.Theincreaseinincomeandspendingincreasesthecountry"simports,sothecurrentaccounttendstodeteriorate(becomeasmallerpositivevalueoralargernegativevalue).Theincreaseinproduction,income,andspendingalsoincreasesthedemandformoney.Ifthecountry"scentralbank课后答案网doesnotpermitthemoneysupplytoexpand,theninterestratesincrease.(Similarly,theincreaseinthegovernmentbudgetdeficitrequiresthegovernmenttoborrowmoretofinanceitsdeficit,increasinginterestrates.)Theincreaseininterestratesincreasestheinflowsoffinancialcapitalintothecountry(anddecreasesoutflows),sothatthecapitalaccounttendstoimprove.www.hackshp.cnTheeffectofthispolicychangeontheexchangeratevalueofthecountry"scurrencydependsontheeffectontheofficialsettlementsbalance.However,wearenotsureabouttheeffectofthepolicychangeonthecountry"sofficialsettlementsbalance.Itdependsonthesizesofthechangesinthetwoaccounts.Ifthecapitalaccountimprovementislarger(asweoftenexpectintheshortrun),thentheofficialsettlementsbalancetendstogointosurplus.Ifthecurrentaccountdeteriorationislarger(asweoftenexpectinthelongrun),thentheofficialsettlementsbalancetendstogointodeficit.Iftheofficialsettlementsbalancetendstogointosurplus,thentheexchangeratevalueofthecountry"scurrencyincreases.Thecountrylosesinternationalpricecompetitiveness,andnetexportstendtodecrease.Thisreducestheexpansionarythrustoftheincreaseingovernmentspending.-15-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnIftheofficialsettlementsbalancetendstogointodeficit,thentheexchangeratevalueofthecountry"scurrencydecreases.Thecountrygainsinternationalpricecompetitiveness,andnetexportstendtoincrease.Thisreinforcestheexpansionarythrustoftheincreaseingovernmentspending.4.Thedecreaseindemandformoneytendstoreducedomesticinterestrates.Thelowerdomesticinterestratesencourageborrowingandspending,sodomesticproductandincomeincreasebecauseoftheincreaseindomesticexpenditure.Thecountry"scurrentaccounttendstodeterioratebecausetheincreaseindomesticproductandincomeincreasesimports.Inaddition,thecountry"scapitalaccounttendstodeteriorate,becausethelowerdomesticinterestratesencourageacapitaloutflow.Asthecountry"sofficialsettlementsbalancetendstogointodeficit,theexchangeratevalueofthecountry"scurrencydepreciates.Thecountrygainsinternationalpricecompetitiveness,andnetexportstendtoincrease.Thisreinforcestheexpansionofdomesticproductandincome.Underfixedexchangerates,thecentralbankinsteadmustresistthedownwardpressureontheexchangeratevalueofthecountry"scurrencybyinterveningintheforeignexchangemarket—thecentralbankmustbuydomesticcurrencyandsellforeigncurrency.Inbuyingdomesticcurrency,thecentralbankreducesthedomesticmoneysupply(assumingthatitdoesnotsterilize).Thecontractionofthedomesticmoneysupplytendstocountertheinitialexpansionofdomesticproductandincome.6.a.Thecontractionarymonetarypolicyincreasesdomesticinterestrates,soborrowingandspendingdecrease.Domesticproductandincometendtodecline.ThedeclineindemandputsdownwardpressureontheBritishinflationrate.课后答案网b.TheincreaseinBritishinterestratesdrawsacapitalinflow,soBritain"scapitalaccounttendstoimprove.ThedecreaseinBritishproductandincomereducesimports,soBritain"scurrentaccounttendstoimprove.Thus,Britain"soverallpaymentstendtogointosurplus,sotheexchangeratevalueofthepoundtendstoincrease(thepoundtendstoappreciate).www.hackshp.cnc.Asthepoundappreciates,Britaintendstoloseinternationalpricecompetitiveness(assumingovershooting—thecurrencyappreciationoccursmorequicklythanthedeclineintheBritishinflationrate).Britishnetexportstendtodecline.ThisreinforcesthecontractionarythrustofBritishmonetarypolicyondomesticproductandincome.Inaddition,italsoreinforcesthedownwardpressureontheBritishinflationrate,bothbecausedemanddeclinesfurther,andbecausetheappreciationtendstoreducetheBritishpoundpricesofimportsintoBritain.8.Theincreaseintheforeignmoneysuppliestendstolowerforeigninterestrates.Thelowerforeigninterestratesspurborrowingandspendinginforeigncountries.Theincreaseinforeignproductandincomeincreasesthedemandforimports,soourexports-16-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnincrease.Inaddition,theexchangeratevaluesofforeigncurrenciesdecline,sothatourcurrencyappreciates.Foreigncurrenciesdepreciatebecausetheoverallforeignpaymentstendtogointodeficit.Theforeigncurrentaccountstendtodeclineasforeignimportsincrease,andtheforeigncapitalaccountstendtodeclineasthelowerforeigninterestratesspurcapitaloutflows.Theappreciationofourcurrencylowersourinternationalpricecompetitiveness,soournetexportstendtodecrease.Thiscountersthemoredirecteffectofchangesininternationaltradeonourdomesticproductandincome.Thisisanexampleofhowfloatingexchangeratestendtoreducethedomesticimpactofaninternationalshock,inthiscaseaforeignmonetaryshock.10.a.TheincreaseinforeigndemandforexportsshiftstheIScurvetotherighttoIS"intheaccompanyinggraph.Theshockincreasesdemandforthecountry"sproducts,sodomesticproductandincometendtorise.TheincreaseinforeigndemandforexportsshiftstheFEcurvetotherightalso,toFE".Attheinitiallevelofincomeanddomesticproduct,thecurrentaccountandtheoverallpaymentsbalancegointosurplus.AzerobalancecanbereestablishedonthenewFE"curvebyincreasingimportsthroughanincreaseindomesticproductandincome.TheLMcurveisnotdirectlyaffected,ifthisshockdoesnotdirectlychangemoneysupplyormoneydemand.b.TherightwardshiftoftheIScurveresultsinanewIS"-LMintersectionatE"withsomeincreaseinthelevelofdomesticproduct.Theincreaseindomesticproductandincomealsoincreasesthecountry"simports.Toproceed,let"sexaminethe"normal"caseinwhichthecountrythentendstohaveacurrentaccountandoverallpaymentssurplus,becausetheincreaseinexportsislargerthantheinitialincreaseinimports.ThismeansthattheintersectionoftheoriginalLMcurveandthenewIS"curveistotheleftofthenewFE"curve.Ifthecountry"sofficialsettlementsbalancetendstogointosurplus,thentheexchangeratevalueofcountry"scurrencyappreciates.课后答案网www.hackshp.cnc.Thecurrencyappreciationreducesthecountry"sinternationalpricecompetitiveness,andthecountry"snetexportsdecrease.Asthereductioninnetexportsreducesdemandforthecountry"sdomesticproduct,theIS"curveshiftsbacktowardtheoriginalIScurve.Asthecurrentaccountdeclineswiththelossofpricecompetitiveness,theFE"curveshiftsbacktowardtheoriginalFEcurve.Ifnothingelsefundamentalchanges,thenthecurvesshift-17-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnbacktotheiroriginalpositions,andthenewtripleintersectionisbacktotheoriginaloneatE.Theremaybelittleornoeffectoninternalbalanceofallofthistakentogether(theinternationaltradeshockinfavorofthecountry"sexportsplustheappreciationofthecountry"scurrency).ChapChChap11ap112.Probablyagree,butwithacaution.Itisusuallyarguedthattheaveragerateofglobalinflationwouldtendtobelowerifmostcountriesadheredtoasystemoffixedexchangerates.Countriesthatsucceedinmaintainingfixedexchangeratesamongtheircurrenciesmusthavesimilarinflationratesinthelongrun.Thistendstodisciplinecountriesthatotherwisewoulddriftorsurgetowardhigherinflationrates.Furthermore,thereismorepressureoncountrieswithpaymentsdeficitstoadjustthanthereisonsurpluscountries.Indefendingthefixedexchangerates,countrieswithpaymentsdeficitsmustintervenetobuytheirowncurrency.Thistendstocontracttheirmoneysuppliesandreducetheirinflationrates.Thus,overall,theworldtendstowardlessmoneygrowthandaloweraveragerateofworldinflation.Thereisonecaution,however.Ifthesystemhasaleadcountry,thentheinflationratethatformsthestandardforthesystemisthiscountry"sinflationrate.Somecountriesthatotherwisewouldprefertohaveanevenlowerinflationratewillfindthattheirinflationrateisdriftinguptowardtherateintheleadcountry.4.Agreeordisagree.Ifyousayagree,thenyouwillemphasizepointslikethefollowing.Withacleanfloatingexchangerate,therateissetbyprivatecompetitivesupplyanddemandinthemarket.Thisrateisamarketpricethatrepresents课后答案网allinformationaboutcurrencyvaluesthatisavailableatthattime.Governmentshavenospecialinformation,sothattheycannotimproveonthecleanfloat.Interventionbythegovernmentintheexchangemarketoftenseemstohavelittleeffectonexchangeratevalues.Whenitdoeshaveanimpact,itdistortstheexchangerate,usuallyforpoliticalpurposes,especiallytorespondtothedesiresofpowerfulspecialinterests.www.hackshp.cnIfyoudisagree,thenyouwillemphasizepointslikethefollowing.Cleanlyfloatingexchangeratesareexcessivelyvariable,perhapsbecauseprivatesupplyanddemandaresometimesdrivennotbyrationalexaminationofinformationontheeconomicfundamentals,butratherbybandwagonsandsimilarspeculativebehavior,orsimplybecauseexchangeratestendtoovershoottheirlong-runvalues.Thus,amanagedfloatpermitsacountrytoobtainmanyofthebenefitsofafloatingexchangerate,includingsomepolicyindependenceandtheabilitytouseexchangeratechangesintheprocessofadjustmenttoexternalimbalances,whileusinginterventiontolimitwideswingsandexcessivevariabilityinexchangeratevalues.6.a.Theseeconomistsbelievethatthevariabilityexistsforgoodreasons,andthatmanyofthesupposedbadeffectsofexchangeratevariabilityarenotthatlarge.Theybelievethatthe-18-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cnvariabilityresultsfromrationalandreasonableresponsesofmarketparticipants,especiallyinternationalinvestors,tovariouskindsofshocksandnews.Aseconomicandpoliticalconditionschange,exchangeratesshouldchangetoreflectthenewinformationabouttherelativevaluesofcurrencies.Theybelievethatvariabilitydoesnotleadtoriskthatunreasonablyreducesinternationaltransactions.Thoseengagedininternationaltransactionsliketradeingoodsandserviceshaveavarietyofwaystohedgetheirexposurestoexchangeraterisk,includingforwardforeignexchangecontractsaswellascurrencyfutures,options,andswaps.b.Theseeconomistsbelievethatthevariabilityisexcessive,andthattherisksdohaveanundesirableimpactoninternationaltransactions.Theybelievethatthevariabilitysometimesresultsfrombandwagonsandsimilarexpectationsthatcarryexchangeratesawayfromtheirappropriateeconomicvalues.Inaddition,overshootingcancauseexchangeratestodeviatefromtheirlongerrunvalues,eveniftheratesfollowapaththatiseconomicallyrational.Theybelievethatsomeoftheresultingexchangerateriskdoeshaveanimpactoninternationaltransactions,becauseitisnotpossibletohedgeperfectlyandcostlessly.Riskmayespeciallyaffectrealinvestmentsthatsupportexportsandsimilarinternationaltransactions,becausetheriskthatmustbehedgedisfurtherinthefuture,andbecausethepaymentsatriskarethemselvesoftenofuncertainsizes.Furthermore,theybelievethatexcessiveratemovementsthatpersistbeyondtheshortrun,suchastheovershootingthatcankeepexchangeratesawayfromtheirlongerrunvaluesforanumberofyears,createsignalsforresourcereallocationsthataretoolargeortoorapid.8.Thefiveconvergencecriteriaare:(1)thecountry"sinflationratemustbenomorethan1.5percentagepointsabovetheaverageinflationrateofthethreelowestinflationEUcountries,(2)thecountry"sexchangeratesmusthavebeenmaintainedwithintheERM课后答案网bandwithnorealignmentsduringtheprevioustwoyears,(3)thecountry"slong-terminterestrateongovernmentbondsmustbenomorethan2percentagepointsabovetheaverageoftheratesinthethreelowestinflationcountries,(4)thecountry"sgovernmentbudgetdeficitmustbelessthanorequalto3percentofthevalueofitsGDP,and(5)thecountry"sgrossgovernmentdebtmustbelessthanorequalto60percentofthevalueofwww.hackshp.cnitsGDP.Forthelattertwocriteriathecountryneednotmeetthemexactly,aslongasthecountryshowsadequateprogresstowardachievingtheminthenearfuture.Wecanguessaboutthelogicforeachrequirement.Theinflationcriterionshowsthatthecountryisreadytoswitchsmoothlytofixedexchangerateswithotherlowinflationcountries.Itisbasedonthelogicofpurchasingpowerparity—thatcountriesmustmaintainsimilarinflationratesiffixedratesaretobesustained.Theexchangeratecriterionshowsthatthecountryalreadyhasbeenabletomaintainapeggedexchangerate,sothatitisreadytoswitchsmoothlytocompletelyfixedexchangerates.Inaddition,thecriterionmaybeintendedtolimitacountry"sabilitytouse"onelast"devaluationtogainacompetitiveedgeinpricingjustbeforeitentersinto"permanently"fixedexchangerates.Theinterestratecriterionmayshowthatcreditmarketsjudgethecountrytobeagood-19-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn 课后答案网：www.hackshp.cninflationrateriskandgoodcreditrisk.Acountrythatisnotexpectedtomaintainalowinflationrateprobablyhastopayahigherinterestrateonitslongtermdebt.Itstendencytowardhigherinflationinthefuturewouldthreatentheviabilityofthefixedexchangerates.Evenworse,acountrywhosegovernmentmightrunintoproblemsinrepayingitsdebtsalsoprobablyhastopayahigherinterestrateonitslongtermgovernmentdebt.Ifthegovernmentdoesthenrunintoproblems,theothercountriesmaybeforcedtobailitoutinordertodefendthefixedexchangerates.Thetwocriteriarelatedtothegovernmentbudgetdeficitanddebtseemtoberelatedtoachievingfiscalpoliciesthatarenottoodifferentbetweenthecountriesthatenterintothefixedexchangerates.Thismaylimitstrainswithinthesystem.Especially,itkeepsoutcountrieswhomightfavormoreinflationarymonetarypoliciestobailthemoutinthefaceofexcessivegovernmentbudgetdeficitsanddebt.Giventheimportanceofhavingandmaintainingsimilarinflationratesforthesuccessoffixedexchangerates,themostimportantcriterionisprobablythatrelatedtothecountry"sinflationrate.Thecriteriarelatedtogovernmentbudgetdeficitsanddebtseemtobetheleastimportant.Acountrythatshiftstocompletelyfixedexchangerateshasgivenuptheabilitytousenationalmonetarypolicyandexchangeratechangesinseekingtoaddressimbalances.Thiscountrymayneedtousefiscalpolicymoreactively,includingsometimesrunninglargebudgetdeficits.Ifthecriteriaalsorestraintheindependenceoffiscalpolicy,thecountry"sgovernmentisleftwithlittleinthewayofpolicytoolstoaddressnationalimbalance.10.HereareseveralargumentsinfavorofaBritainstayingoutoftheEuropeanMonetaryUnionandinsteadmaintainingitspolicyofanindependentlyfloatingexchangerateforthepound.First,changesinthefloatingexchange-ratevalueofthepoundcanbeusedinadjustingtoreduceexternalimbalancesthatBritainmightface.Changes课后答案网intheexchange-ratevalueofthepoundcanalsoreducetheBritain’svulnerabilitytoexternalshocks,includingshockscomingfromotherEUcountries.Second,adoptionoffloatingexchangeratesallowsBritaintopursueitsownmonetarypolicy.Monetarypolicycanbeusedtoseekinternalbalance,andBritain’sgovernmenthasagreaterabilitytopursueitsowngoalsandpriorities.TheabilitytousemonetarypolicytofightaBritishrecessionwww.hackshp.cnandhighBritishunemploymentcanbeespeciallyvaluableiffiscalpolicyisnotflexibleenoughtobeusefulinpursuinginternalbalance,andifmovementsoflaborbetweencountriesoftheunionarenotlikelytobelargeenough(orperhapsevennotdesirable)asawaytosmoothcyclicaldifferencesbetweenthesecountries.Third,thoseaffectedbythevariabilityoffloatingexchangerateshaveavarietyofmeansofhedgingtheirexposurestoexchangeraterisks,includingforwardforeignexchangecontractsandcurrencyfutures,options,andswaps.Thesecontractsareavailablewithverylowtransactionscosts.Finally,theBritishinflationrateisbestcontrolledbyaBritishcentralbankthatiscommittedtothisgoal.AlthoughtheEuropeanCentralBankisstructuredliketheGermancentralbank,itisalsosubjecttopoliticalpressuresthatcouldreduceitscommitmenttomaintaininglowinflation,sothereisnoguaranteethatBritainwillhavelowerinflationifitjoinsthemonetaryunion.-20-若侵犯了您的版权利益，敬请来信告知！www.hackshp.cn'