Question: Define each of the following terms: a. Multinational corporation b. Exchange rate; fixed exchange rate system; floating exchange rates c. Trade deficit; devaluation; revaluation d.

Define each of the following terms:
a. Multinational corporation
b. Exchange rate; fixed exchange rate system; floating exchange rates
c. Trade deficit; devaluation; revaluation
d. Exchange rate risk; convertible currency; pegged exchange rates
e. Interest rate parity; purchasing power parity
f. Spot rate; forward exchange rate; discount on forward rate; premium on forward rate
g. Repatriation of earnings; political risk
h. Eurodollar; Eurobond; international bond; foreign bond
i. The euro

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a A multinational corporation is one that operates in two or more countries b The exchange rate specifies the number of units of a given currency that can be purchased for one unit of another currency ... View full answer

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