--%>

Good international monetary system

Explain criteria for the ‘good’ international monetary system.

E

Expert

Verified

Good international monetary system must offer the following: 

a) It should provide adequate liquidity to world economy, 

b) It should offer smooth adjustments to the BOP disequilibrium as soon as it occurs, 

c) Also provide the, safeguard against the confidence crisis within the system.

   Related Questions in Financial Accounting

  • Q : Characteristics of Composite currency

    State the characteristics of the Composite currency bonds market instrument.

  • Q : Case study of harvesting a tree

    Recently, a friend accused her neighbor of harvesting a tree (sapling of balsam fir, Abies balsamea) from her land without permission. Her neighbor claims that he bought it from a Christmas tree plantation (growing in a clearing down the road).  Your friend says

  • Q : Forward cross-rates in German terms

    Compute 30-, 90-, and 180-day forward cross exchange rates between German mark and Swiss franc by utilizing the most recent quotations.  Specify forward cross-rates in “German” terms.

  • Q : Maintaining the fixed exchange rate

    Explain why “Once  the capital markets are integrated, it becomes difficult for the country in order to maintain the fixed exchange rate”. 

  • Q : Balance Sheets & Income Statement

    Bio-Pure Food Company Gary Green has recently inherited some money and is interested in investing in a small company with some growth potential.  Last week he r

  • Q : MONEY MEASUREMENT CONCEPT DESCRIBE THE

    DESCRIBE THE ADVANTAGES AND DISADVANTAGES OF MONEY MEASUREMENT CONCEPT

  • Q : Operation of currency forward and

    Describe basic differences between operation of a currency forward market and a futures market.

  • Q : Difference between consensual crimes

    Explain the difference between consensual crimes and conflict crimes, and give three examples of each.

  • Q : A technically oriented software design

    Design: For this assignment you are to produce, one per group, a technically oriented software  design document. As the scope of the project is quite small and basically encompasses an extension to an existing

  • Q : Foreign subsidiary conforming norm of

    Specify some conditions under which you would suggest that foreign subsidiary conforms to local norm of the financial structure?