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Essay Instructions: One of the major complaints regarding foreign exchange rates and flexible exchange rates is that the exchange rates are too volatile when they float.

Define how the following contributes to volatility of the exchange rate:
trade-balance
currency substitution
differential speed of adjustment of asset markets versus goods markets
the news
Explain each of the above.

Essay Instructions: Individual
International Trade and Finance Speech
Assume that you have been appointed as the Speaker of the House. You must deliver a speech about the current state of the U.S. macroeconomy to a number of amateur reporters who are unfamiliar with economics.
Prepare a 750- to 1,050-word speech in simple terms and concepts that focus on international trade and foreign exchange rates.
Integrate a summary of your answers to the following questions and cite external research to further justify your facts:
? What happens when there is a surplus of imports brought into the U.S.? Cite a specific example of a product with an import surplus, and the impact that has on the U.S. businesses and consumers involved.
? What are the effects of international trade to GDP, domestic markets and university students?
? How do government choices in regards to tariffs and quotas affect international relations and trade?
? What are foreign exchange rates? How are they determined?
? Why doesn?t the U.S. simply restrict all goods coming in from China? Why can?t the U.S. just minimize the amount of imports coming in from all other countries?

Essay Instructions: Individual
International Trade Simulation Complete the International Trade Simulation.

Write a 1,050- to 1,250-word report advising the President of Rodamia making recommendations for international trade. Address the following:

? List at least one advantage and one limitation of international trade you encountered in the simulation.
? Define absolute and comparative advantage in your own words.
? Explain how absolute and comparative advantages were used in your simulation.
? Describe the influences affecting foreign exchange rates.
? Provide specific trading suggestions for the hypothetical countries.

Format your report consistent with APA guidelines.

Post your assignment as an attachment.

Essay Instructions: Describe the current state of the US macroeconomy to people who are unfamiliar with economics,.
What happens when there is a surplus of imports brought into the US? Cite a specific example of a product with an import surplus, and the impact that has on the US businesses and consumers involved.
What are the effects of international trade to GDP, domestic markets and university students?
How do government choices in regards to tariffs and quotas affect international relations and trade?
What are foreign exchange rates? How are they determined?

Why doesn't the US simply restrict all goods coming in from China? Why can't the US just minimize the amount of imports coming in from all other countries.

Include introduction and conclusion.

Cite outside research to justify the facts.