write short notes on autonomous transactions and accommodating transac
distinguish between autonomous transactions and accommodating transactions under balance of payments
In which account of balance of payment tourism services to tourist are involved?
Answer: Tourism services to tourist are comprised in current account of Balance of
Demand for foreign exchange is prepared to:
(A) Purchase services and goods (B) Send gifts and funding(C) Speculate the value of foreign currencies, (D) Invest and procure financial assets
Induced investment: It is a type of investment that is of profit motive in nature.
Flexible (or floating) exchange rate system: This is a system in which exchange rate is found out by forces of demand and supply of the foreign currencies concerned in the foreign exchange market. There is no official interference in the foreign excha
State the items that are not involved in the current account of India’s Balance of payment.
Answer: The capital transactions is in the form of direct and portf
Explain how foreign exchange rate is determined beneath flexible exchange rate system.
Beneath flexible exchange rate system, the equilibrium exchange rate is found out where demand for foreign exchange is equival
safeguard against the crisis of confidence in system explain
suppose that an investor has an extra cash reserve of $1000000 to invest for one year. annually rate is 10%
Fixed exchange rate: It is the rate of exchange which is fixed by the Government in an economy.
Autonomous or public investment: It is a type of investment that is not of profit motivated.
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