Covered interest parity is an equilibrium condition which holds when the forward premium or discount on foreign exchange just equals the interest rate differential.
Zainabdawa answered the question on August 1, 2018 at 08:36
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Explain the difference between covered interest arbitrage and uncovered interest arbitrage
(Solved)
Explain the difference between covered interest arbitrage and uncovered interest arbitrage.
Date posted:
August 1, 2018
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Answers (1)
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Describe a full-reserve banking system
(Solved)
Describe a full-reserve banking system.
Date posted:
July 27, 2018
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Answers (1)
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Give a critical view on Fractional-reserve banking
(Solved)
Give a critical view on Fractional-reserve banking.
Date posted:
July 27, 2018
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Answers (1)
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Over the past decade, there has been a trend towards increasing the independence of central banks as a way of improving long-term economic performance. In...
(Solved)
Over the past decade, there has been a trend towards increasing the independence of central banks as a way of improving long-term economic performance. In respect to this statement discuss any 4 types of independence of a typical central bank.
Date posted:
July 27, 2018
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Answers (1)
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The Central Bank has several instruments to use to counter changes in the market and influence price stability. Discuss any 5 of the instruments.
(Solved)
The Central Bank has several instruments to use to counter changes in the market and influence price stability. Discuss any 5 of the instruments.
Date posted:
July 27, 2018
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Answers (1)
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Discuss any five (5) determinants of the changes in interest rates
(Solved)
Discuss any five (5) determinants of the changes in interest rates.
Date posted:
July 27, 2018
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Answers (1)
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Assess the main reasons as to why the government regulate business activities in your country
(Solved)
Assess the main reasons as to why the government regulate business activities in your country.
Date posted:
July 26, 2018
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Answers (1)
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Explain six reasons why developing countries should invest largely in small scale industries rather than in large scale industries
(Solved)
Explain six reasons why developing countries should invest largely in small scale industries rather than in large scale industries.
Date posted:
July 26, 2018
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Answers (1)
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Explain the measures that can be taken to curb the challenges developing countries face in their industrial sectors
(Solved)
Explain the measures that can be taken to curb the challenges developing countries face in their industrial sectors.
Date posted:
July 26, 2018
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Answers (1)
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Examine the key obstacles faced by developing countries in their industrial sectors
(Solved)
Examine the key obstacles faced by developing countries in their industrial sectors.
Date posted:
July 26, 2018
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Answers (1)
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Let us say there is a sudden increase in demand in Kenya for Italian products. Explain how this increase will have an impact on the...
(Solved)
Let us say there is a sudden increase in demand in Kenya for Italian products. Explain how this increase will have an impact on the money supply in Kenya's economy
Date posted:
July 21, 2018
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Answers (1)
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Outline functions of tender committee.
(Solved)
Outline functions of tender committee.
Date posted:
July 16, 2018
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Answers (1)
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Outline the functions of a Procuring Unit or procurement department in public organization.
(Solved)
Outline the functions of a Procuring Unit or procurement department in public organization.
Date posted:
July 16, 2018
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Answers (1)
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Outline reasons for the Termination of the Director General
(Solved)
Outline reasons for the Termination of the Director General
Date posted:
July 16, 2018
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Answers (1)
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Discuss Values of Good Procurement Governance
(Solved)
Discuss Values of Good Procurement Governance
Date posted:
July 16, 2018
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Answers (1)
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Explain the positive impacts of a rapidly growing population
(Solved)
Explain the positive impacts of a rapidly growing population.
Date posted:
July 16, 2018
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Answers (1)
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Analyse the likely impact on consumer and producer surplus of the introduction of a minimum price for a unit of alcohol.
(Solved)
Analyse the likely impact on consumer and producer surplus of the introduction of a minimum price for a unit of alcohol.
Date posted:
July 9, 2018
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Answers (1)
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With the aid of appropriate examples, explain the main features of oligopoly.
(Solved)
With the aid of appropriate examples, explain the main features of oligopoly.
Date posted:
July 9, 2018
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Answers (1)
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Critically examine the assumption that firms will always aim to maximise profits.
(Solved)
Critically examine the assumption that firms will always aim to maximise profits.
Date posted:
July 9, 2018
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Answers (1)
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Critically examine the view that advertising should be restricted not least because it is wasteful and distorts markets
(Solved)
Critically examine the view that advertising should be restricted not least because it is wasteful and distorts markets
Date posted:
July 9, 2018
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Answers (1)