disparity between the rich and the poor. Ranked by the exchange rate of the United States Dollar‚ the Indian economy is the twelfth largest in the world. In Purchasing Power Parity GDP‚ the figure for India was 1.5 trillion US Dollars in 2008. The per capita income of India is 4‚542 US Dollars in the context of Purchasing Power Parity. This is primarily due to the 1.1 billion population of India‚ the second largest in the world after China. In nominal terms‚ the figure comes down to 1‚089 US Dollars
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if they continue on the same paths are they are now. This expected growth is important for more than just those countries themselves‚ but their continued growth and path to becoming developed countries is vital to the rest of the world economy and power. These four countries growth and development over the last years has set a name for themselves with the promise to continue to grow into emerging countries with flourishing markets and strong economic potential. Important aspects to look at for each
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What happened on Black Wednesday in 1992? (UK and Exchange Rate mechanism) Black Wednesday‚ 16 September 1992‚ was the day Britain crashed out of the ERM - a system for tying the pound and other currencies’ values to that of the German mark‚ and was a precursor to the creation of the single European currency. Prime Minister John Major and Chancellor Norman Lamont raised interest rates during the day from 10% to 12% to 15% and authorised the spending of billions of pounds in a doomed effort to keep
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Further‚ assume that the spot exchange rate is $1.05 per euro‚ and the interest rate on dollar deposits is 10 percent and on euro it is 4 percent. Under these assumptions‚ (a) Covered interest parity does hold. (b) Covered interest parity does not hold. (c) It is hard to tell whether covered interest parity does or does not hold. (d) Not enough information is given to answer the question. (e) None of the above. Answer: B (7) If the dollar interest rate is 10 percent and the euro interest rate
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The Philippines is located in South East Asia and the Philippines economy has been industrialized in the recent times. In terms of the purchasing power parity it ranked 24th according to the World Bank. The sectors that are of key importance in the Philippines Economy are agriculture‚ industry and mining each of which can be detailed under the following heads; Agricultural sector contributes about 17.1% of the GDP‚ Industrial Sector contributes 18.1% in the GDP. “The Gross Domestic product (GDP)
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Discuss the usefulness of GDP as a measure of living standards‚ and as a way of comparing living standards i) across countries ii) across time. Gross Domestic Product (GDP) is the total market value of all goods and services produced in a country in a given year. It is equal to the total consumer‚ investment and government spending‚ plus the value of exports‚ minus the value of imports. The GDP report is released on the last day of each quarter and reflects the previous quarter. However‚ GDP
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PRICING OF A COMPANY CASH MANAGEMENT If a company knew that a country’s currency where a subsidiary was based were going to fall in value‚ it would want to do a number of things: - reduce cash holdings in this currency to a minimum by purchasing inventories or other real assets - subsidiary should try to avoid extended trade credit (account receivable) Subsidiary should try to obtain extended credit terms Company may also want to borrow in local currency to replace any advances made by
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has maintained a high standard of living. Germany is known for its well established social security system which stems from the flourishing German economy. In the world‚ the German economy ranks 4th in terms of nominal GDP and 5th in terms of purchasing power. Germany is the world’s second largest trader both in terms of imports and exports. Germany is also the hub of global scientific and technological developments. Germany is the largest economy in the European Union. It benefits from a large pool
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1.0 Introduction Chatime is one of the biggest milktea manufacturers in Taiwan. Chatime was first introduced in 2003.Chatime strategy by combining both high quality tea with Taiwanese bubble pearl bring a big success to Chatime and makes it becomes the market leader of milktea drinks in several countries. The success of Chatime can be seen by it has so many outlets‚ 800 franchises‚ all around the world. They are Taiwan‚ Malaysia‚ Indonesia‚ US‚ Uk‚ Australia and 12 other countries besides South
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Table of Contents Operations 2 Hofstede’s Dimensions 3 Geography 4 Social Class 4 Ethnicities 5 Legal System 6 Starting a Business 6 Economic System 7 Economic Comparison Table 8 Works Cited 10 [pic] Pizza Hut in Australia Operations As we sitting down to dinner eating pizza from Pizza Hut and watching television‚ we see an ad for Australia and there eating habits. We wonder if Pizza Hut operates in Australia. Indeed‚ we found out that Pizza
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