Please only provide answer, no explanation needed. PAY CLOSE ATTENTION, I need the format with question #, and part (Ex. 1a, 1b, 2a, 2b, etc..). For question 1 the selections are only Decrease, Increase, and Unchanged for each of the three columns; Exports, Imports, and Net Exports. There are 9 problems, all 9 need to be completed. Pay close attention to question 8 as well.

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1. Problems and Applications Q1 Indicate how each of the following transactions affects U.S. exports, imports, and net exports. Effect On... Transaction U.S. Exports U.S. Imports U.S. Net Exports A British scholar spends a year at Harvard University as a visiting scholar. Students in Paris flock to see the latest movie from Hollywood. A Canadian buys a new Ford. Your aunt buys a novel by a British author from a local bookstore. A Canadian citizen shops at a store in northern Vermont to avoid Canadian sales taxes.1. Problems and Applications Q1 Indicate how each of the following transactions affects U.S. exports, imports, and net exports. Effect On... Transaction U.S. Exports U.S. Imports U.S. Net Exports A British scholar spends a year at Harvard University as a visiting scholar. Students in Paris flock to see the latest movie from Hollywood. Decrease A Canadian buys a new Ford. Your aunt buys a novel by a British author from a local bookstore. Increase A Canadian citizen shops at a store in northern Vermont to avoid Canadian sales Unchanged taxes.2. Problems and Applications Q2 Indicate whether each of the following transactions represents an increase in net exports, a decrease in net exports, an increase in net capital outow, or a decrease in net capital outow for the United States. Net Exports Net Capital Outflow Transaction Increase Decrease Increase Decrease The Japanese car manufacturer Nissan builds a factory in Ohio. 0 O O O A South Korean tourist buys some Sunkist oranges from an American farmer. O O O C) An American buys a box of Belgium chocolate. 0 O O C) An American fashion company opens up an outlet in the U.K. O O O O 3. Problems and Applications Q3 Indicate whether each of the following actions represents foreign direct investment or foreign portfolio investment. Foreign Direct Investment Foreign Portfolio Investment Buying bonds issued by a foreign government O O Opening up a factory in a foreign country O O Which of the following is more likely to engage in foreign portfolio investment than in foreign direct investment? O An individual investor O A corporation 4. Problems and Applications Q4 Complete the following table by indicating the effect each of the following transactions has on U.S. net capital outflow and whether it involves direct investment or portfolio investment. Effect on Net Capital Type of Investment Transaction Outflow Involved A Fidelity mutual fund sells its Volkswagen stock to a French investor. (Note: V V Assume the French investor pays in U.S. dollars.) Samsung sells stock to the General Electric pension fund. Y Y IKEA expands its store in Long Island, New York. V V An American financial company establishes an office in London. V V 4. Problems and Applications Q4 Complete the following table by indicating the effect each of the following transactions has on U.S. net capital outflow and whether it involves direct investment or portfolio investment. Effect on Net Capital Type of Investment Transaction Outflow Involved A Fidelity mutual fund sells its Volkswagen stock to a French investor. (Note: V V Assume the French investor pays in U.S. dollars.) _ . Decrease Samsung sells stock to the General Electric pensnon fund. Y IKEA expands its store in Long Island, New York. V An American financial company establishes an office in London. V 4. Problems and Applications Q4 Complete the following table by indicating the effect each of the following transactions has on U.S. net capital outflow and whether it involves direct investment or portfolio investment. Effect on Net Capital Type of Investment Transaction Outflow Involved A Fidelity mutual fund sells its Volkswagen stock to a French investor. (Note: V V Assume the French investor pays in U.S. dollars.) 4 4 Portfolio investment _ . Direct investment Samsung sells stock to the General Electric pensnon fund. IKEA expands its store in Long Island, New York. 4 An American financial company establishes an office in London. 5. Problems and Applications Q5 Indicate whether each of the following groups would be happy or unhappy if the U.S. dollar appreciated. Happy or Unhappy Spanish investors holding U.S. government bonds Y U.S. agricultural industries Mexican tourists planning a trip to the United States 444 An American firm planning to expand its operation overseas 5. Problems and Applications Q5 Indicate whether each of the following groups would be happy or unhappy if the U.S. dollar appreciated. Happy or Unhappy Spanish investors holding U.S. government bonds Y U.S. agricultural industries Mexican tourists planning a trip to the United States An American firm planning to expand its operation overseas 6. Problems and Applications Q6 If the US. nominal exchange rate declines and prices are unchanged in the United States and abroad, the real exchange rate V Do No Harm / 1 decreases - ' remains unchanged lications Q6 increases hange rate declines and prices are unchanged in the United States and abroad, the real exchange rate v 7. Problems and Applications Q7 A can of soda costs $1.50 in the United States and 24 pesos in Mexico. Assume purchasingpower parity holds. The pesodollar exchange rate is pesos per dollar. Suppose a monetary expansion causes all prices in Mexico to double, so that the price of soda in Mexico rises to 48 pesos. The pesodollar exchange rate is now pesos per dollar. 8. Problems and Applications Q8 A case study in the chapter analyzed purchasingpower parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U. 5. dollar. (Hint: Recall that the U. 5. price of a Big Mac was $5. 58. ) Country Price of a Big Mac Predicted Exchange Rate Actual Exchange Rate Colombia 11,900 pesos V 3,192 pesos/$ Sri Lanka 580 rupees V 182 rupees/$ Russia 110 rubles V 67 rubles/$ Saudi Arabia 12 riyals V 3.75 riya|5/$ France 4.05 V 0.87 /$ According to purchasing-power parity, the predicted exchange rate between the Sri Lankan rupee and the euro is V rupees per euro. However, the actual exchange rate is V rupees per euro. 8. Problems and Applications Q8 A case study in the chapter analyzed purchasingpower parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U. 5. dollar. (Hint: Recall that the U. 5. price of a Big Mac was $5. 58. ) Country Price of a Big Mac Predicted Exchange Rate Actual Exchange Rate Colombia 11,900 pesos V 3,192 pesos/$ Sri Lanka 580 rupees V 182 rupees/$ 469 pesosl$ Russia 110 rubles V 67 rubles/$ Saudi Arabia 12 riyals 2:133 pesos/$ 3.75 riyals/$ France 4.05 0.87 /$ 4,206 pesos/$ 17,811 pesos/$ According to purchasing-power parity, the p ate between the Sri Lankan rupee and the euro is V rupees per euro. However, the actual exchange rate is V rupees per euro. 8. Problems and Applications Q8 A case study in the chapter analyzed purchasingpower parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U. 5. dollar. (Hint: Recall that the U. 5. price of a Big Mac was $5. 58. ) Country Price of a Big Mac Predicted Exchange Rate Actual Exchange Rate Colombia 11,900 pesos V 3,192 pesos/$ Sri Lanka 580 rupees V 182 rupees/$ Russia 110 rubles V 67 rubles/$ 62 rupees/$ Saudi Arabia 12 riyals 3.75 riyals/$ France 4.05 96 rupeeS/$ 0.87 /$ 104 rupees/$ According to purchasing-power parity, the pr ate between the Sri Lankan rupee and the euro is V rupees per euro. However, the actual exchange rate is V rupees per eur 1'016 rupees/$ 8. Problems and Applications Q8 A case study in the chapter analyzed purchasing-power parity for several countries using the price of Big Macs. Here are data for a few more countries: 19.7 rubles/$ For each country, select the predicted exchar 50.7 rubles/$ al currency per U.S. dollar. (Hint: Recall that the U.S. price of a Big Mac was $5.58.) Country Price of a Big Mac Pr 105.6 rubles/$ e Rate Actual Exchange Rate Colombia 11,900 pesos 3,192 pesos/$ 373.9 rubles/$ Sri Lanka 580 rupees 182 rupees/$ Russia 110 rubles 67 rubles/$ Saudi Arabia 12 riyals 3.75 riyals/$ France 4.05 E 0.87 E/$ According to purchasing-power parity, the predicted exchange rate between the Sri Lankan rupee and the euro is _ rupees per euro. However, the actual exchange rate is rupees per euro.8. Problems and Applications Q8 A case study in the chapter analyzed purchasing-power parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchan 2.15 riyals/$ cal currency per U.S. dollar. (Hint: Recall that the U.S. price of a Big Mac was $5.58.) Country Price of a Big Mac Pre 4.65 riyals/$ je Rate Actual Exchange Rate Colombia 11,900 pesos 11.56 riyals/$ 3,192 pesos/$ Sri Lanka 580 rupees 182 rupees/$ 20.93 riyals/$ Russia 110 rubles 67 rubles/$ Saudi Arabia 12 riyals 3.75 riyals/$ France 4.05 E 0.87 E/$ According to purchasing-power parity, the predicted exchange rate between the Sri Lankan rupee and the euro is _ rupees per euro. However, the actual exchange rate is rupees per euro.8. Problems and Applications Q8 A case study in the chapter analyzed purchasing-power parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U.S. dollar. (Hint: Recall that the U.S. price of a Big Mac was $5.58.) 0.73 E/$ Country Price of a Big Mac Predi nge Rate Actual Exchange Rate Colombia 11,900 pesos 1.38 E/$ 3,192 pesos/$ Sri Lanka 580 rupees 2.38 E/$ 182 rupees/$ Russia 110 rubles 67 rubles/$ 4.85 E/$ Saudi Arabia 12 riyals 3.75 riyals/$ France 4.05 E 0.87 E/$ According to purchasing-power parity, the predicted exchange rate between the Sri Lankan rupee and the euro is _ rupees per euro. However, the actual exchange rate is rupees per euro.8. Problems and Applications Q8 A case study in the chapter analyzed purchasingpower parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U. 5. dollar. (Hint: Recall that the U. 5. price of a Big Mac was $5. 58. ) Country Price of a Big Mac Predicted Exchange Rate Actual Exchange Rate Colombia 11,900 pesos V 3,192 pesos/$ Sri Lanka 580 rupees V 182 rupees/$ Russia 110 rubles V 67 rubles/$ Saudi Arabia 12 riyals V 3.75 riyals/$ France 4.05 V 0.87 /$ According to purchasing-power parity, the predicted exchange rate between the Sri Lankan rupee and the euro is V rupees per euro. However, the actual exchange rate is V rupees per euro. 8. Problems and Applications Q8 A case study in the chapter analyzed purchasingpower parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U. 5. dollar. (Hint: Recall that the U. 5. price of a Big Mac was $5. 58. ) Country Price of a Big Mac Predicted Exchange Rate Actual Exchange Rate Colombia 11,900 pesos V 3,192 pesos/$ Sri Lanka -es V 182 rupees/$ Russia es V 67 rubles/$ Saudi Arabia ls V 3.75 riyals/$ France V 0.87 /$ According to purchasin- parity, the predicted exchange rate between the Sri Lankan rupee and the euro is V rupees per euro. However, the actual exchange rate is V rupees per euro. 9. Problems and Applications Q9 Purchasing-power parity holds between the nations of Ectenia and Wiknam, where the only commodity is Spam. In 2020, a can of Spam cost 4 dollars in Ectenia and 24 pesos in Wiknam. The exchange rate between Ectenian dollars and Wiknamian pesos was pesos per dollar. Over the next 35 years, inflation is expected to be 2 percent per year in Ectenia and 4 percent per year in Wiknam. If this inflation comes to pass, what will happen over this period to the price of Spam and the exchange rate? Over this period, the price of Spam in Ectenia will V , and the price of Spam in Wiknam will V . (Hint: Recall the rule of 70 from the chapter \"The Basic Tools of Finance.\") The exchange rate between the two countries will V . V will likely have a higher nominal interest rate. A friend of yours suggests a getrichquick scheme: borrow from the nation with the lower nominal interest rate, invest in the nation with the higher nominal interest rate, and profit from the interestrate differential. Which of the following statements explains the flaw in your friend's logic? 0 The scheme would work only if the real interest rates are the same in both nations. 0 Nominal exchange rates adjust for the effects of inflation. O The scheme would work only if there is greater inflation in one nation than in the other. 9. Problems and Applications Q9 Purchasing-power parity holds between the nations of Ectenia and Wiknam, where the only commodity is Spam. In 2020, a can of Spam cost 4 dollars in Ectenia and 24 pesos in Wiknam. The exchange rate between Ectenian dollars and Wiknamian pesos was pesos per dollar. Over the next 35 years, ination is expected to be 2 percent per year in Ectenia and 4 percent per year in Wiknam. If this inflation comes to pass, what will happen over this period to the price of Spam and the exchange rate? Over this period, the price of Spam in Ectenia will V , and the price of Spam in Wiknam will V . (Hint: Recall the rule of 70 from the chapter \"The Basic Tools of Finance.\") e rate between the two countries will V . double V will likely have a higher nominal in triple quadruple A friend of yours suggests a getrichquick schem the nation with the lower nominal interest rate, invest in the nation with the higher nominal interest rate, and profit from the interestrate differential. which of the following statements explains the flaw in your friend's logic? 0 The scheme would work only if the real interest rates are the same in both nations. 0 Nominal exchange rates adjust for the effects of inflation. O The scheme would work only if there is greater inflation in one nation than in the other. 9. Problems and Applications Q9 Purchasing-power parity holds between the nations of Ectenia and Wiknam, where the only commodity is Spam. In 2020, a can of Spam cost 4 dollars in Ectenia and 24 pesos in Wiknam. The exchange rate between Ectenian dollars and Wiknamian pesos was pesos per dollar. Over the next 35 years, inflation is expected to be 2 percent per year in Ectenia and 4 percent per year in Wiknam. If this inflation comes to pass, what will happen over this period to the price of Spam and the exchange rate? Over this period, the price of Spam in Ectenia will V , and the price of Spam in Wiknam will 70 from the chapter \"The Basic Tools of Finance.\") The exchange rate between the two countries will double V will likely have a higher nominal interest rate. triple uadru le A friend of yours suggests a getrichquick scheme: borrow from the nation with the lower nominal intere q p nominal interest rate, and profit from the interestrate differential. Which of the following statements explains the flaw in your friend's logic? 0 The scheme would work only if the real interest rates are the same in both nations. 0 Nominal exchange rates adjust for the effects of inflation. O The scheme would work only if there is greater inflation in one nation than in the other. V . (Hint: Recall the rule of in the nation with the higher 9. Problems and Applications Q9 Purchasing-power parity holds between the nations of Ectenia and Wiknam, where the only commodity is Spam. In 2020, a can of Spam cost 4 dollars in Ectenia and 24 pesos in Wiknam. The exchange rate between Ectenian dollars and Wiknamian pesos was pesos per dollar. Over the next 35 years, ination is expected to be 2 percent per year in Ectenia and 4 percent per year in Wiknam. If this inflation comes to pass, what will happen over this period to the price of Spam and the exchange rate? Over this period, the price of Spam in Ectenia will V , and the price of Spam in Wiknam will V . (Hint: Recall the rule of 70 from the chapter \"The Basic Tools of Finance.\") The exchange rate between the two countries will V . V will likely have a higher nominal interest rate. double triple A friend of yours suggests a getrichquick scheme: borrow from the nation with the lower nominal i nvest in the nation with the higher quadruple nominal interest rate, and profit from the interestrate differential. which of the following statements explains the flaw in your friend's logic? 0 The scheme would work only if the real interest rates are the same in both nations. 0 Nominal exchange rates adjust for the effects of inflation. O The scheme would work only if there is greater inflation in one nation than in the other. 9. Problems and Applications Q9 Purchasing-power parity holds between the nations of Ectenia and Wiknam, where the only commodity is Spam. In 2020, a can of Spam cost 4 dollars in Ectenia and 24 pesos in Wiknam. The exchange rate between Ectenian dollars and Wiknamian pesos was pesos per dollar. Over the next 35 years, inflation is expected to be 2 percent per year in Ectenia and 4 percent per year in Wiknam. If this inflation comes to pass, what will happen over this period to the price of Spam and the exchange rate? Over this period, the price of Spam in Ectenia will V , and the price of Spam in Wiknam will V . (Hint: Recall the rule of 70 from the chapter \"The Basic Tools of Finance.\") The exchange rate between the two countries will V . V will likely have a higher nominal interest rate. ours suggests a getrichquick scheme: borrow from the nation with the lower nominal interest rate, invest in the nation with the higher -rest rate, and profit from the interestrate differential. Which of the following statements explains the flaw in your friend's logic? 0 The scheme would work only if the real interest rates are the same in both nations. 0 Nominal exchange rates adjust for the effects of inflation. O The scheme would work only if there is greater inflation in one nation than in the other