《国际金融学课后题答案.doc》由会员分享，可在线阅读，更多相关《国际金融学课后题答案.doc（12页珍藏版）》请在taowenge.com淘文阁网|工程机械CAD图纸|机械工程制图|CAD装配图下载|SolidWorks_CaTia_CAD_UG_PROE_设计图分享下载上搜索。
1、Chapter 1:Keeping Up With a Changing World-Trade Flows, Capital Flows, and the Balance Of PaymentsI. Chapter OverviewThe chapter begins by discussing on the importance of international economic integration, citing recent current events that demonstrate the widely varying opinions of the advantages a
2、nd disadvantages of international trade and finance. The chapter sets the stage to logically examine these opinions and stresses the need to begin by understanding how international transactions are measured. The second section of the chapter defines the broad concept of globalization which includes
3、 increased market integration, the expansion of world governance, and the increased mobility of people and information; and the narrow focus of economic integration, which refers to the strengthening of existing and creation of new international linkages. The chapter then proceeds to distinguish the
4、 real and financial sectors that link the worlds economies. Historical data are presented to give a sense of the growth of world trade and transactions in global financial markets during the past few decades. In the third section of the chapter, international balance of payments accounting is descri
5、bed in terms of a double entry bookkeeping system. The components of each of the three major accounts, (1) the current account, (2) the private capital account, and (3) the official settlements balance, are discussed in detail. The usage of the terms balance of payments deficit and balance of paymen
6、ts surplus are equated to a positive official settlements balance and a negative official settlements balance respectively, as distinct from the term overall balance of payments which must be zero by construction. The next section provides a series of concrete examples of international transactions
7、and the ways that these impact the balance of payments accounts. The examples used are: (1) The importation of an automobile, which registers as a debit under current account merchandise and a credit under capital flows in the category of foreign assets in the U.S. (2) The services consumed by a stu
8、dent who travels abroad, which registers as a debit under current account services, and a credit under capital flows in the category of foreign assets in the U.S. (3) The purchase of a domestic treasury bill by a foreign resident, which registers as a credit under capital flows as a foreign asset in
9、 the U.S., and as a debit under capital flows as a U.S. asset abroad. (4) The payment of interest by the U.S. on a foreign-held asset, which registers as debit under current account income and a credit under capital inflows in the foreign assets in the U.S. category. (5) The provision of humanitaria
10、n aid abroad by a U.S. charitable organizations in the form of a donation of wheat, which registers as a credit in the current account merchandise category, and a debit in the unilateral transfers category.The next section provides a discussion of what it means for a country to be a net creditor or
11、net debtor in terms of capital account balances. The section applies the material to an examination of debt relief for heavily indebted poor countries (a hot political topic which may provide a good opportunity for class discussion).The final section of the chapter relates current account balances t
12、o capital flows. It examines this issue based solely on accounting identities provided earlier. Domestic savings less domestic investment determine the current account balance as well as net capital flows. Thus, the current account balance is directly related to net capital flows.II. OutlineA.Why It
13、 Is Important to Understand International Money and FinanceB.International Economic Integration: The Importance of Global Trade and Financial Markets1.The Real and Financial Sectors of an Economy2.World Trade in Goods and Services3.International Transactions in Financial Assets4.The Most Globalized
14、NationsC.The Balance of Payments1.Balance of Payments as a Double-Entry Bookkeeping System2.Balance-of-Payments Accountsa.The Current Account1)Goods2)Services3)Incomeb.Capital Accountc.The Official Settlements Balance3.Deficits and Surpluses in the Balance of Payments4.Other Deficit and Surplus Meas
15、uresD.Examples of International Transactions and How they Affect the Balance of Payments1.Example 1: Import of an Automobile2.Example 2: A College Student Travels Abroad3.Example 3: A Foreign Resident Purchases a Domestic Treasury Bill4.Example 4: The United States Pays Interest on a Foreign-Held As
16、set5.Example 5: A Charitable Organization in the United States Provides Humanitarian Aid Abroad6.Example CombinedE.The Capital Account and the International Flow of Assets1.Example: A College Student2.A Capital Account Surplus3.The United States as a Net Debtor4.Debt Relief for the Heavily Indebted
17、Poor CountriesF.Relating the Current Account Balance and Capital FlowsG.Chapter SummaryIII. Fundamental Issues1.How important is the global market for goods and services?2.How important are the international monetary and financial markets?3.What is a countrys balance of payments, and what does this
18、measure?4.What does it mean for a country to be a net debtor or net creditor?5.What is the relationship between a nations current account balance and its capital flows?IV. Chapter Features1.Management Notebook: “What are the Most Globalized Firms?”This notebook first considers the largest multinatio
19、nal enterprises (MNEs) in the world and then considers the worlds most globalized firms. The measure of globalization that is used is the transnationality index of the United Nations Conference on Trade and Development (UNCTAD). This measure averages the values of the ratios of foreign sales to tota
20、l sales, foreign assets to total assets and employees abroad to total employees. Typically the most globalized firms are the MNEs of smaller advanced economies.For Critical Analysis: Being globalized should not be an objective in and of itself. A firm may want to globalize if there are gains that en
21、hance its profitability. For example, a firm may want to globalize if there are economies of scale to be enjoyed in doing so.2.Management Notebook: Are Trade and Foreign Direct Investment Substitutes or Complements?Traditional thought has considered trade and foreign direct investment (FDI) as alter
22、native means of serving a foreign market. Consequently, trade and FDI have been viewed as substitutes. More recent research has shown that the relationship between trade and FDI may likely be considerable more complex; suggesting that trade and FDI may be either substitutes or complements. FDI may s
23、erve as a means by which a firm can improve its competitiveness and increase trade as opposed to substitute for trade. For critical analysis: The service sector tends to be very localized and does not typically trade in intermediate products. Hence, if a firm established a presence in a foreign mark
24、et-to service a foreign market-it no longer needs to export to the foreign market.3.Online Notebook: “Are U.S. Exports Understated Because of the Internet?”This Notebook examines measurement problems in tracking international trade. One particular problem is that small value exports-transactions of
25、less than $2,500-need not be reported. Because most internet transactions are small value transactions, U.S. exports may be understated. As a result, the U.S. trade deficit may not be as large as that reported by the U.S. Commerce Department.For Critical Analysis: The U.S. trade deficit may not be a
26、s large as reported. Hence, the large U.S. current account deficit may no be as large as reported.V. Answers to End of Chapter Questions1.Debits are reported as negative values while credits are reported as positive values.Goods ServicesIncomeUnilateralTransfersCurrentAccounta-$1,000-$1,000B-$20,000
27、-$20,000c-$1,000,000-$1,000,000d$100$1002.Using the table provided above:a.The balance on goods and services is a deficit of $21,000.b.The current account balance is a deficit of $1,020,900. c.The capital account balance would be a surplus of $1,020,900.3.The balance on merchandise trade is the diff
28、erence between exports of goods, 719 and the imports of goods, 1,145, for a deficit of 426. The balance on goods, services and income is 719 + 279 +284 1145 - 210 269, for a deficit of 342. Adding unilateral transfers to this gives a current account deficit of 391, -342 + (-49) = -391. (Note that in
29、come receipts are credits and income payments are debits.) 4.Because the current account balance is a deficit of 391, then without a statistical discrepancy, the capital account is a surplus of 391. In this problem, however, the statistical discrepancy is recorded as a positive amount (credit) of 11
30、. Hence, the sum of the debits in the balance of payments must exceed the credits by 11. So, the deficit of the current account must be greater than the surplus on the capital account by 11. The capital account, therefore, is a surplus of 391 11 = 380.5.A balance-of-payments equilibrium (see page 19
31、) is when the debits and credits in the current account and the private capital account sum to zero. In the problem above we do not know the private capital account balance. We cannot say, therefore, whether this country is experiencing a balance-of-payments surplus or deficit or if it is in equilib
32、rium.6.The current account is a deficit of $541,830 and the private capital account balance is a surplus of $369,068. The U.S., therefore, has a balance of payments deficit.7.Positive aspects of being a net debtor include the possibility of financing domestic investment that is not possible through
33、domestic savings; thereby allowing for domestic capital stock growth which may allow job, productivity, and income growth. Negative aspects include the fact that foreign savings may be used to finance domestic consumption rather than domestic savings; which will compromise the growth suggested above
34、.Positive aspects of being a net creditor include the ownership of foreign assets which can represent an income flows to the crediting country. Further, the net creditor position also implies a net exporting position. A negative aspect of being a net creditor includes the fact that foreign investmen
35、t may substitute for domestic investment.8.A nation may desire to receive both portfolio and direct investment due to the type of investment each represents. Portfolio investment is a financial investment while direct investment is dominated by the purchase of actual, real, productive assets. To the
36、 extent that a country can benefit by each type of investment, it will desire both types of investment. Further, portfolio investment tends to be short-run in nature, while FDI tends to be long-run in nature. This is also addressed in much greater detail in Chapter 7.9. Domestic Savings - Domestic I
37、nvestment = Current Account Balance Domestic Savings - Domestic Investment = Net Capital Flows Therefore, Current Account Balance = Net Capital Flows10.Using the equations above, private savings of 5 percent of income, government savings of -1 percent, and investment expenditures of 10 percent would
38、 results in a current account deficit of 6 percent of income and a capital account surplus (net capital inflows) of 6 percent of income. This could be corrected with a reduction in the government deficit (to a surplus) and/or an increase in private savings.11.The transnationality index for World Fil
39、ms is:(533/1233 + 227/615 + 322/1256)/3 = (0.432 + 0.369 + 0.256)/3 = 1.057/3 = 0.352.The transationality index for Music Publishers Worldwide is:(455/2456 + 246/809 + 900/2467)/3 = (0.185 + 0.304 + 0.365)/3 = 0.854/3 = 0.285.Based on this index, World films is the most globalized firm.VI.Multiple C
40、hoice Questions1. Globalization refers to:A.only increasing market integration, while international economic integration refers to the strengthening of existing international linkages of commerce and the addition of new international linkages.B.only the expansion of world governance and global socie
41、ty, while international economic integration refers to the strengthening of existing international linkages of commerce and the addition of new international linkages.C.only the increased mobility of peoples and information, while international economic integration refers to the strengthening of exi
42、sting international linkages of commerce and the addition of new international linkages.D.the increasing market integration, the expansion of world governance and global society, and the increased mobility of peoples and information, while international economic integration refers to the strengtheni
43、ng of existing international linkages of commerce and the addition of new international linkages.Answer: D2. International economic integration refers to:A.the expansion of world governance and society.B.the increased mobility of peoples and information.C.the strengthening of existing international
44、linkages of commerce and the addition of new linkages.D.the strengthening of existing international linkages of commerce but not the addition of new linkages.Answer: C3.Globalization refers to _, and international economic integration refers to _.A.a broader scope of the internationalization process
45、, a narrower focus of the internationalization process.B.a narrower scope of the internationalization process, a broader focus of the internationalization process.C.the same thing as international economic integration, the strengthening of international linkages of commerce.D. None of the above.Answ
46、er: A4.Open trade in goods, services, and financial assets by leading economies of the world at levels close to those observed today:A. have never been experienced.B. had been experienced before World War I.C. had been experienced between World War I and World War II.D. had been experienced only imm
47、ediately before the Korean conflict.Answer: B5.Real sector transactions deal with:A.transactions in goods and services.B.transactions in financial assets.C.transactions in both goods and services and financial assets.D.transactions in neither goods and services nor in financial assets.Answer: A6.Financial sector linkages deal with:A. transactions in goods and services.B. transactions in financial assets.C. transactions in both goods and services and financial assets.D. transactions in neither goods and services