Quick Question!! (1 Viewer)

[mattchan]

I need the answer to this multiple choice question thanxs!!


What must the RBA do to raise the exchange rate from $A1 = $US0.55 to $A1 = $US0.60?

A) Buy $A7 billion
B) Sell $A7 billion
C) Sell $A13 billion
D) Buy $A13 billion

Is it A??

 

[Jago]

Yes .

 

[nick1048]

its buy but what formula calculates exactly how much the RBA needs to sell or buy???

 

[mattchan]

There is no formula. The way i did it was, to get to the new dollar position, there woud be an increase demand, therefore, you need to increase from 12 to 19 quantity....


Also another question lololol


What is an acceptable economic argument for a government to impose a tariff on imports?
A) To raise revenue
B) To retaliate against tariffs imposed by other countries
C) To stop imports from countries with low labour costs
D) To assist a new industry to become internationally competitive

 

[Jago]

D.

These are pretty basic questions imo, you should be able to do them yourself.

 

[mattchan]

yeah, i suck

I dun have answers to these papers, just making sure

 

[Eagles]

D.

These are pretty basic questions imo, you should be able to do them yourself.

not really.. B,C,D are all arguements used.

The tricky part is HIGHLIGHTing the ECONOMIC arguement.

B,C are more of a relations/moral arguemnt respectivly rather than economic.

but yeah.. D's the answer..

 

[monique66]

yeah, i suck

Nah, you don't...multiple choice is my weekest area as well