Assume the following information for a bank quoting on spot exchange rates: Exchange rate of Singapore dollar in U. S. $ = $ .32 Exchange rate of pound in U. S. $ = $1.50 Exchange rate of pound in Singapore dollars = S$4.50 Based on the information given, as you and others perform triangular arbitrage, what should logically happen to the spot exchange rates? A) The Singapore dollar value in U. S. dollars should appreciate, the pound value in U. S. dollars should depreciate, and the pound value in Singapore dollars should appreciate. B) The Singapore dollar value in U. S. dollars should appreciate, the pound value in U. S. dollars should appreciate, and the pound value in Singapore dollars should depreciate. C) The Singapore dollar value in U. S. dollars should depreciate, the pound value in U. S. dollars should appreciate, and the pound value in Singapore dollars should depreciate. D) The Singapore dollar value in U. S. dollars should depreciate, the pound value in U. S. dollars should appreciate, and the pound value in Singapore dollars should appreciate. E) None of the above.

Suppose that hubert, an economist from an am talk radio program, and kate, an economist from a nonprofit organization on the west coast, are arguing over government bailouts. the following dialogue shows an excerpt from their debate: kate: to recent financial crises, the concept of bailouts is a hot topic for debate among everyone these days. hubert: indeed, it’s gotten crazy! a government bailout of severely distressed financial firms is unnecessary because free markets will properly price assets. kate: i don’t know about that. without a bailout of severely distressed financial firms, the economy will experience a deep recession. the disagreement between these economists is most likely due todifferences in scientific judgments . despite their differences, with which proposition are two economists chosen at random most likely to agree? business managers can raise profit more easily by reducing costs than by raising revenue. central banks should focus more on maintaining low unemployment than on maintaining low inflation. employers should not be restricted from outsourcing work to foreign nations

Which statement best explains the relationship between points a and b? a. consumption reaches its highest point, and then supply begins to fall. b. inflation reaches its highest point, and then the economy begins to expand. c. production reaches its highest point, and then the economy begins to contract. d. unemployment reaches its highest point, and then inflation begins to decrease.

Chuck, a single taxpayer, earns $80,750 in taxable income and $30,750 in interest from an investment in city of heflin bonds. (use the u.s. tax rate schedule.) (do not round intermediate calculations. round your answers to 2 decimal places.)