Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

PASSED > PASSED QUIZ > Flashcards

PASSED QUIZ Flashcards

manifesting

1
Q

study of monetary interactions

A

INTERNATIONAL FINANCE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

US DOLLAR

A

international money
international transaction
value of worldwide standard
safe currency

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

THREE MAJOR DIMENSIONS OF INTERNATIONAL FINANCE APART FROM DOMESTIC FINANCE

A

Foreign Exchange and Political Risk
Market Imperfections
Expanded Opportunity Set

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

it is risk of loss (gain) of unforeseen government action

A

POLITICAL RISK

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

risk of investment’s returns of could suffer of result political changes

A

POLITICAL RISK

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

world market is highly imperfect

A

MARKET IMPERFECTIONS

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

MARKET IMPERFECTIONS

A

does not meet the rigorous standard

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

volatility of foreign exchange risk that most serious international financial problem

A

FOREIGN EXCHANGE RISK

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

benefited from expanded opportunities available globally

locate production in any country

A

EXPANDED OPPORTUNITY SET

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

COMPANIES ARE MOTIVATED TO INVEST CAPITAL IN ABROAD

A

Efficiently produce product in foreign market than that domestically

Obtain the essential raw material needed for production

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

it is growing interdependence
reduce operating costs
buy raw materials cheaply
reduction of tariffs
gain access to million of new customers

A

GLOBALIZATION

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

leads to greater interaction

A

SOCIALLY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

exchange of ideas, culture, and artistic expression

A

CULTURALLY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

how international law is created

A

LEGALLY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

facilities and other assets atleast in one country

A

MULTINATIONAL CORPORATION

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

offices and facilities in different countries

A

MULTINATIONAL COMPANY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

agreement for tariffs and trade to eliminate the barriers

A

GENERAL AGREEMENT OF TARIFFS AND TRADE (GATT)

18
Q

transaction of buying and selling between international market

A

INTERNATIONAL FLOW OF FUNDS

19
Q

monitor all international money transaction

A

BALANCE OF PAYMENT

20
Q

BALANCE OF PAYMENT

A

record all payments and transactions

21
Q

TWO COMPONENTS OF BALANCE OF PAYMENT

A

CURRENT ACCOUNT

CAPITAL ACCOUNT

22
Q

short term transaction

A

CURRENT ACCOUNT

23
Q

CAPITAL ACCOUNT

A

sum of total inflow and outflow

24
Q

export transaction are more than import

A

SURPLUS BALANCE OF PAYMENT

25
Q

DEFICIT BALANCE OF PAYMENT

A

export transaction are less than import

26
Q

imports more goods and borrow from other country to pay the import

A

BALANCE OF PAYMENT DEFICIT

27
Q

short-term of Balance of Payment Deficit

A

fuel economic growth

28
Q

long-term of Balance of Payment Deficit

A

debt to pay for consumption

29
Q

exports more and provides enough capital to pay all domestic production

A

BALANCE OF PAYMENT SURPLUS

30
Q

short- term of Balance of Payment Surplus

A

surplus boost economic growth

31
Q

long-term of Balance of Payment Surplus

A

dependent on export to driven growth

32
Q

FACTORS INFLUENCING INTERNATIONAL FLOW OF FUNDS

A

INFLATION
NATIONAL INCOME
GOVERNMENT POLICIES FOR A COUNTRY
SUBSIDIES PROVIDED FOR TRADERS
RESTRICTION ON IMPORT
RESTRICTION ON PIRACY
IMPACT OF ECHANGE RATES OF FOREIGN CURRENCY

33
Q

increase inflation rate is decreasing the value of current account

A

INFLATION

33
Q

impact the most trade between two countries at international level

A

GOVERNMENT POLICIES OF A COUNTRY

33
Q

GDP income increase = rise in per capita income of people = increase spending

A

NATIONAL INCOME

34
Q

rate subsidies decide the volume of export

A

SUBSIDES PROVIDED FOR TRADERS

35
Q

government heavy duty on import that will help the country

A

RESTRICTION ON IMPORT

36
Q

government affect international trade flows

A

RESTRICTION ON PIRACY

37
Q

fluctuate

A

IMPACT OF EXHANGE RATE OF FOREIGN CURRENCY

38
Q

ADVANTAGES OF INTERNATIONAL FLOW OF FUNDS

A

INCREASE AGGREGATE DEMAND
INCREASE PPRODUCTION CAPACITY
TECHNOLOGICAL ADVANCEMENT
THE SURPLUS ON THE FINANCIAL ACCOUNT OF BALANCE OF PAYMENT
EASY FINANCES
THE INFLOW OF FOREIGN CURRENCY

39
Q

DISADVANTAGES OF INTERNATIONAL FLOW OF FUNDS

A

THE LOSS TO DOMESTIC PLAYER
TAX EVASION
DESTROYING REAL ESTATE MARKET
MONEY LAUNDERING

PASSED (5 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions