国际金融（双语）-56

白韬喆

目录

  • Ch01: The Foreign Exchange Market
    • ● 1.1 Foreign Exchange Trading
    • ● 1.2 Spot  Exchange Rates
    • ● 1.3  Currency Arbitrage
    • ● 1.4  Foreign Exchange Rate Movements
    • ● 1.5 Trade-weighted Exchange Rate Indexes
    • ● 1.6 Chapter Review
  • Ch02: International Monetary Arrangements
    • ● 2.1 The Gold Standard & Bretton Woods Agreement
    • ● 2.2 The Current International Monetary System
  • Ch.03: The Balance of Payments
    • ● 3.1 Current Account & Capital Account
    • ● 3.2 Transactions Classifications
    • ● 3.3 Balance of Payments Equilibrium and Adjustment
  • Ch04: Forward-looking Market Instruments
    • ● 4.1 Forward Rates
    • ● 4.2 Swaps
    • ● 4.3  Futures
    • ● 4.4 Options
  • Ch05: The Eurocurrency Market
    • ● 5.1 Reasons for Offshore Banking & Libor
    • ● 5.2 International Banking Facilities & Offshore Banking Practices
  • Ch6: Exchange Rates, Interest Rates, and  Interest Parity
    • ● 6.1 Interest Parity
    • ● 6.2 Exchange Rates, Interest Rates, and  Inflation
    • ● 6.3 Expected Exchange Rates and the Term Structure of Interest Rates
  • Ch07: Prices and Exchange Rates:  Purchasing Power Parity
    • ● 7.1 Absolute Purchasing Power Parity
    • ● 7.2 Relative Purchasing Power Parity
    • ● 7.3 Overvalued and Undervalued Currencies
    • ● 7.4 Chapter Review
  • Ch08: Foreign Exchange Risk and Forecasting
    • ● 8.1 Types of Foreign Exchange Risk & Foreign Exchange Forecasting
  • Ch09: Determinants of the Balance of Trade
    • ● 9.1 Elasticities Approach to the Balance of Trade
    • ● 9.2 The Absorption Approach & Monetary Approach
  • Reviews
    • ● Key Points
  • Electronic Learning Materials
    • ● E-Textbook
    • ● Reference Book
7.4 Chapter Review
  • 1 problems
  • 2 answers

1. Based on the informationpresented below:

Current price of a barrel of crude oil (BCL) in the US: $105

Current price of BCL in Mexico: MXN 1,480

Current exchange rate: 1 USD = MXN 12.70

applying the Big Mac type analysis to determine the following:

a) The price of BCL in Mexico in terms of US dollars(based on the going exchange rate)

b) What should the exchange rate be for the Mexican pesos so that the price of BCL is the same in both countries?

c) Based on the current price of BCL in both countries, what is the percentage overvaluation or undervaluation of the Mexican peso against the USD?

d) Suppose the price of BCL increased by 17% in the US and 11% in Mexico. At the end of the year the exchange rate is MXN 12.25 per USD. Which currency appreciated in “real terms” USD or MXN?


2. Below are the Big Mac prices and actual exchange rates for select Latin American countries as printed in previous editions. Use the data to complete the calculation of the implied PPP value of the currency versus the U.S. dollar and the calculation as to whether that currency is undervalued (-%) or overvalued (+%) versus the U.S. dollar.