国际经济学复习范围.docx

《国际经济学》复习范围
题型：
一、 名词解释(共５小题，每小题3分,共15分)
二、 判断题（共１5小题,每小题1分,共1５分)
三、 简答题（共5小题,每小题8分,共40分)
四、 论述题(共２题,每题15分,共30分)
范围：
I、 Ｅｘplain the folｌｏwiｎg terms、
1、　Interindustrｙ tｒadｅ
2、 Intrａiｎｄustry　trａdｅ
3、　Ｉnｔraprodｕct tradｅ
4、 Thｅ Balanｃe ｏf Pａymenｔ
Ａ country’s balａncｅ of payｍeｎｔs　accountｓ　keep ｔracｋ of　bｏth its paymｅnｔs tｏ and its　ｒeceipｔｓ　fｒom fｏreｉgnｅrｓ、
Eｖerｙ inteｒnaｔioｎal　traｎsactiｏn　autｏｍaｔｉｃaｌｌy ｅnｔeｒｓ　the　ｂalancｅ ｏf payｍeｎts tｗicｅ:　once aｓ ａ　crｅdit (+）　and　oｎcｅ ａs　a ｄebit　(-)、
5、 pａrative Ａdvantage
A country hａs a ｐaratiｖe ａdvanｔagｅ ｉn ｐrodｕcinｇ　a ｇoods ｉf the　ｏppｏrtｕniｔy ｃost　oｆ proｄuciｎg that　goｏds in ｔeｒms of oｔher　gｏｏds iｓ lｏwer　ｉn　that　counｔry thaｎ it is ｉn oｔhｅr　cｏｕntries、
6、 Sｔolｐer-Saｍueｌsoｎ　Ｔｈeorｅm (efｆect)
Ｉf ｔｈe rｅlaｔiｖe　ｐrｉce oｆ ａ　good incrｅａses, holｄｉｎg　ｆａcｔoｒ ｓupｐlies　conｓtant， thｅn ｔhe ｎｏminａl and reaｌ return (in　termｓ ｏｆ　ｂｏｔh goods)　tｏ ｔhe facｔor　used intensively in thｅ ｐrodｕction　ｏf that good incrｅases, ｗhilｅ　the ｎominaｌ ａnd ｒeal reｔurn　(in terms of　ｂoth goodｓ)　to tｈe othｅr factor deｃreasｅs、
Thｅ　ｒｅvｅrse　is alsｏ ｔrue、
7、 Hｅcksｃher-Oｈlin　Theｏrem
A ｃountrｙ will　export tｈａt mｏdity ｗhich uｓes intensｉｖely ｉts ａbundaｎt ｆａcｔｏｒ and　iｍporｔ thａt modｉty　ｗｈich uses ｉntensｉveｌy iｔs scarｃｅ factor、
8、 Factor-Priｃe Eｑｕalizatiｏn Thｅorem
Ｉntｅrnatiｏnaｌ　ｔraｄe lｅaｄｓ to　plｅte equａｌization in ｔhe rｅlaｔive and absolute returns to　homogenｅoｕs factors acroｓｓ coｕntrｉeｓ、
Iｔ imｐliｅs ｔhat ｉｎtｅｒnａtionaｌ trade is ａ subｓtitｕtｅ　ｆｏr thｅ　ｉnterｎａtional moｂilitｙ of factｏrs、
9、　Oｐtimｕm taｒｉff
The tariff rａtｅ　that maxｉmizｅs nationａl welｆaｒe
Ｉt is ａlwａys　poｓｉｔiｖe ｂut leｓs thaｎ ｔhe prohibｉtｉvｅ rａte that wｏuld eliminatｅ ａｌl ｉmｐoｒts、
It iｓ ｚｅro　for　ａ smａll　couｎｔry beｃause iｔ cannot　affect its tｅｒｍs ｏf trade、
10、 Exｃｈａｎge　Ｒatｅ Oｖershoｏｔing
11、 puｒｃhaｓｉng pｏwer pａrity (PPP)
Ｔｈe　exchanｇe ratｅ betwｅen tｗｏ countｉｅｓ’ ｃｕrrｅnciｅs　eｑuaｌs ｔhe　rａtｉo ｏｆ the countieｓ’ ｐrice　leveｌs、
It　pａｒeｓ　ａverage　prｉces　aｃross　ｃountriｅs、
12、　Law of one priｃe
Ideｎtｉｃal goｏds　soｌd ｉn　different cｏuｎtrｉes must sell　foｒ ｔhe same pricｅ whｅn theｉr pricｅｓ are exprｅsｓeｄ ｉn terms　ｏｆ　tｈｅ samｅ curｒency、
13、 Ｔhe Fｉsher Eｆfect
Iｔ is a ｈｙｐｏthｅsｉs ｉn inｔernａｔiｏｎaｌ fiｎａncｅ that sｕｇgestｓ ｄifｆeｒenｃｅs ｉn nominaｌ inteｒesｔ　raｔeｓ ｒefｌect exｐeｃted ｃhａnges in tｈe ｓｐot eｘchaｎｇe ratｅ bｅｔwｅen　ｃounｔriｅs、 he ｈypothｅsis　sｐｅcificａlｌy states thａt　a　spｏｔ ｅｘchaｎge　ｒatｅ is　ｅxｐｅcｔｅｄ　ｔo ｃhanｇe eｑｕally in the　oppoｓite　ｄｉrection　oｆ thｅ　ｉntｅｒｅｓt rate difｆereｎtial、
14、Thｅ Ｊ-Curve
Iｆ impoｒｔs　aｎd　expoｒｔs adjｕsｔ gradually to　ｒeal eｘcｈange ratｅ　chanｇeｓ, the CA　may ｆolｌow a　J-curｖe pａｔtｅrｎ aftｅｒ ａ　reaｌ ｃurｒｅnｃy　ｄeprｅciatiｏｎ,　fiｒst ｗoｒsｅｎｉng aｎd then　improvｉnｇ、 Iｔ dｅsｃribｅs　the tiｍｅ ｌag　with whicｈ　a reａl cｕrrencｙ　depreciａtioｎ　ｉmpｒoves tｈe ＣＡ、
１5、 manageｄ floatinｇ exｃhaｎge　ｒates
A syｓｔem ｉn　whiｃh gｏvernｍeｎｔs ａtteｍpt to modｅratｅ eｘｃhａnge rａｔe movements ｗiｔhout　keeｐiｎg exchａngｅ raｔes riｇｉdｌy fixed、
1６、 sｔｅriｌizeｄ　iｎteｒveｎｔｉoｎ
Ceｎｔral bankｓ　somｅtｉmｅs carrｙ ｏut eｑual foreign ａｎd ｄomesｔic assｅt traｎsａｃtiｏｎｓ in opｐｏsitｅ　dｉｒeｃｔions ｔo nulliｆy the ｉmpact ｏf　theｉr　foreign exｃhange operatｉｏns　on ｔhｅ ｄomestic　ｍoneｙ sｕｐｐly、
17、　Caｐｉｔａl fｌiｇht
The reseｒve loss　acpａｎｙinｇ a　ｄevaluation scare
Tｈe ａssocｉated　debｉｔ　ｉn the ｂalaｎce oｆ pａymentｓ aｃcounts iｓ ａ　ｐrivaｔe capｉｔal outｆlow、
1８、ｖeｈicｌe currency
A　currｅncy　tｈａt is widｅｌy ｕsed to ｄenｏminatｅ international　coｎtｒacts　maｄe by ｐａrtieｓ ｗｈo　ｄｏ　noｔ　rｅside　in the cｏunｔry that issｕes the vehiｃｌe cuｒrｅｎcｙ、
19、interest pariｔｙ
Ｉnteｒest Ｐaritｙ: The Basic　Eqｕilｉbrium　Conｄｉtion
Thｅ fｏｒeign exｃhａｎｇｅ ｍarkｅt ｉs in ｅquilibrium when deposiｔs oｆ ａlｌ currｅncｉes ｏffer thｅ　saｍe ｅxpｅcｔeｄ rａtｅ of reｔurn、Thｅ expected reｔuｒｎs on deposｉts　of　ａnｙ tｗo currｅｎciｅs are ｅqual wheｎ measurｅd　iｎ ｔhe　ｓaｍe　cuｒrｅnｃｙ、
20、inflatｉon　biaｓ
Ｈｉgh ｉnflatiｏｎ with　ｎｏ aveｒage ｇain　ｉｎ ｏｕtｐuｔ that　reｓulｔs　froｍ govｅrnmｅnｔs’　poliｃｉｅs　ｔo ｐrｅｖenｔ　receｓｓioｎ
IＩ、 Giｖｅ a　T(True)　oｒ ａ Ｆ(Ｆalｓe) for ｅａch of　ｔhe followinｇ sayiｎgs、
涉及每章重要得知识点。
ＩIＩ、　Aｎswer ｔhｅ　follｏwiｎg questiｏns、
1． How about thｅ bａsic reasons foｒ　ｗｈｉｃh couｎｔries ｅngage　ｉn inｔernａtiｏnal ｔｒaｄe?　
Countｒies　enｇage in ｉｎternational trade　ｆor two　basic ｒｅasonｓ：
They aｒｅ diｆferent　ｆroｍ　eaｃｈ oｔheｒ in ｔｅｒms ｏf　ｃlimａte,　land，　capital， labor, aｎd　teｃhnoｌｏgｙ、
They try　ｔo acｈｉevｅ　scalｅ　economｉeｓ in produｃtiｏn、
2、Whaｔ about thｅ ｂasｉｃ　viｅwpｏints of the Heｃｋｓｃheｒ-Ohlin　theory?
Ｉn tｈe reａl wｏrld, whｉle　tｒaｄe　is pａrtｌy ｅxpｌａｉｎed by ｄiffeｒeｎｃes ｉn labor ｐroduｃtivｉｔy，　it ａlsｏ ｒeｆleｃts dｉffeｒences　in coｕntrｉeｓ’ rｅsourｃes、
Ｔhｅ Hｅckscher-Ohｌin　tｈeory:
Emphaｓｉzｅs ｒesource　diffeｒenｃeｓ as thｅ oｎly source　of traｄe
Ｓhowｓ　ｔｈat　ｐaｒａｔive adｖantａgｅ is infｌｕeｎcｅd　ｂy:
Relaｔive faｃｔor aｂundaｎce (refeｒs to　coｕｎｔries）
Relative ｆａctor intensｉty (refers ｔo　ｇoodｓ)
Iｓ ａlso ｒefｅｒreｄ ｔｏ ａs　the facｔor-ｐroportioｎs ｔｈeory
3、How ａbouｔ ｔｈｅ Intｅrnａtｉoｎａl effｅｃts oｆ　eｘｐoｒｔ－ｂｉａｓeｄ ａｎd　ｉmport－ｂiasｅd grｏｗth？
Expｏrt-biaｓed gｒｏwtｈ　ｉn tｈe rest oｆ ｔhe ｗorld improves our tｅｒms of　trade, while impｏrｔ-bｉasｅd groｗth ａbrｏａd worsens　our teｒmｓ of　traｄe、
Expoｒｔ-ｂiasｅd groｗth　in ｏｕr counｔｒy　woｒsenｓ oｕr terms of trade, reducing thｅ ｄirecｔ benefｉtｓ of gｒoｗｔh,　while import-biased growth leadｓ ｔo an impｒoｖeｍenｔ of ouｒ tｅｒmｓ　of trade、
4、ｐare tｈe effｅｃts of a ｔarｉff ａnｄ　ｏf an ｅxport　ｓubsidy on ｔｈe terms oｆ　tradｅ、
Impｏrt　tａrifｆs ａnd expoｒt subsｉdies　aｆfｅct both reｌaｔive suｐpｌy aｎd ｒelative　ｄemand、
Ｒｅｌatｉve Ｄｅmaｎd ａnd Ｓupｐly　Ｅｆfectｓ of a　Ｔariff
Tarｉｆfｓ　ｄrive ａ ｗeｄge betｗeen tｈe priｃｅs at ｗhiｃh gｏods are　ｔrａｄｅd iｎternatｉonally （ｅxternaｌ priｃes）　and　the ｐrｉces ａt which tｈey　are tｒaded　wiｔｈiｎ a　couｎｔry （inｔernal pｒices)、
Ｔｈe　terms ｏf trａde ｃorrｅspond ｔo　ｅxternaｌ, nｏｔ intｅｒnａl, pricｅs、
Effects ｏｆ aｎ Exｐort Subsidy
Tａrｉffs aｎd ｅxporｔ ｓuｂsidｉes are　ｏftｅn　tｒeaｔed　as ｓimiｌａr policies ｂut they　haｖe ｏppｏsitｅ eｆｆects ｏn ｔhe terms　oｆ ｔrade、
Exａmpｌe： Suppoｓｅ thaｔ Home ofｆers 2０% subｓｉdy on ｔｈe vａlue ｏf ｃｌoth exｐoｒted:
This wiｌl raisｅ Hｏｍe’s internal pｒice oｆ　cｌoth relａｔive to fooｄ ｂｙ 20%、
Tｈｉｓ ｗill lead Hｏmｅ pｒｏdｕcers ｔo ｐroduce more cloｔh ａnd　lｅss fｏod、
A Home expoｒt subsidy ｗorsｅns　Ｈome’s　tｅｒms oｆ　trａdｅ　and　ｉｍprｏvｅｓ Foｒeｉgn’s、
5、Hｏw to　expｌａin tｈat ｅconomｉｅｓ oｆ scale can bｅ eitheｒ　ｅxｔｅrnal and iｎtｅｒｎaｌ?
Ecｏnｏmiｅs ｏf sｃaｌe　can be eｉtｈｅr:
Extｅrnal
Ｔhe cost ｐeｒ unｉt ｄｅpenｄs oｎ　the sizｅ ｏｆ tｈe　inｄuｓtrｙ ｂuｔ noｔ neceｓｓaｒily ｏn the ｓize of anｙ oｎe firm、

Ａn　iｎｄustｒy　wiｌl tｙｐｉcａlｌy consist ｏf mａny smaｌl fｉrｍｓ　aｎd　ｂe ｐｅｒfectｌｙ ｐｅtiｔive、
Iｎternal
Ｔhe cosｔ per ｕnit　dｅpends on the　size oｆ ａn inｄividual firm bｕt not neceｓsaｒｉly　on that of ｔhe induｓtry、
The ｍaｒｋｅt ｓtrucｔure ｗｉlｌ be iｍpeｒfectly petiｔive wiｔｈ larｇe firｍs haｖｉng a cost adｖantage ovｅｒ small、
Both typeｓ ｏf sｃaｌe ｅcoｎomieｓ arｅ importａnt caｕses of interｎational ｔrａde、
6、 Ｈow　about　thｅ　basic　reaｓｏｎs why a clusｔer ｏｆ　firｍｓ ｍａy　be more efficient　than　an indiviｄuaｌ ｆirm iｎ　isolation?
Tｈere are ｔhrｅe main　reasons ｗｈｙ a ｃluster of ｆirmｓ may ｂｅ　more ｅffiｃieｎｔ thａn ａn individual fｉｒｍ in isｏlation：
Ｓpecｉalized ｓupplｉerｓ
In mａｎy indｕstrｉes, thｅ prodｕｃtｉon of goodｓ and　services　and the deｖeｌopｍｅnt of neｗ products requiｒes the use of spｅcｉalized equiｐｍｅnｔ or　suｐpｏrt servｉces、
Ａn iｎdividｕal　pany doｅs nｏｔ ｐrｏvｉde a larｇｅ　enｏuｇｈ ｍａｒｋeｔ　for thｅsｅ services tｏ ｋeep　the suｐplierｓ iｎ businesｓ、
A　ｌocaliｚｅｄ　ｉndustrｉal clusteｒ　ｃan soｌve this ｐroblｅm ｂy briｎｇing togｅthｅｒ many ｆｉrmｓ that　ｐrｏviｄe a largｅ enouｇh maｒｋeｔ tｏ suppｏrt specialｉzed supｐliｅrｓ、
Lａbor　ｍaｒkｅt pooling
A ｃｌusｔeｒ ｏf fｉrms cａn crｅate a pooｌｅｄ　maｒket ｆor　worｋers　ｗith hｉｇｈly specｉａlized ｓｋｉlls、
It is aｎ adｖanｔａge for：
Ｐｒｏｄucers
Thｅy arｅ ｌｅss likelｙ tｏ　sufｆer　froｍ laboｒ shｏrtａgeｓ、
Wｏrkｅrs
Ｔｈeｙ ａre less lｉkeｌy to　bee uｎemplｏyeｄ、
Kｎoｗｌeｄgｅ spiｌloｖeｒs
Knowledｇe iｓ one ｏf tｈe importanｔ　inpｕｔ ｆacｔors in ｈｉghｌｙ　iｎnovative iｎｄustrieｓ、
Ｔhe sｐeｃｉａｌizｅd knｏｗｌｅｄge　ｔｈａt ｉｓ crｕｃiａl ｔo suｃcess iｎ iｎnoｖaｔｉve　industｒies ｅs fｒom
Reｓｅaｒch anｄ devｅlopment　effortｓ
Reverse ｅngineｅriｎｇ
Iｎｆormal ｅxchange of ｉnformaｔion and ideas
７、How　abouｔ thｅ efｆecｔs　oｆ　an exｐorｔ subｓｉｄy?
Ｅxporｔ　subsiｄy
A payｍｅnt ｂｙ tｈe ｇoverｎmeｎｔ tｏ a　firm　oｒ iｎｄividual ｔhat ｓhips ａ　good　abroad
It cａn be eithｅr ｓpeｃｉｆic oｒ　ａd　valoreｍ、
Aｎ　eｘpoｒt suｂsiｄy ｒaiｓes prices in ｔhｅ expｏｒtiｎｇ ｃoｕntry ｗhile ｌoweriｎg ｔhem iｎ ｔhｅ importing ｃountｒy、
In addiｔion, and ｉn coｎtraｓt ｔo　a taｒiｆｆ, tｈe ｅxport suｂｓidy worseｎs the　ｔerms of trａｄe、
An eｘporｔ ｓubsidy ｕnamｂiｇuｏｕｓlｙ leａdｓ tｏ ｃosｔs　thａｔ　ｅxceｅd iｔｓ ｂｅneｆitｓ、
８、Tｒy to ｐaｒe　tｈe options of ｉｍｐort-subsｔiｔｕｔinｇ induｓtrializatioｎ　and　export-orienｔeｄ　inｄusｔｒiaｌizaｔｉoｎ、
A tariff tｈat reｄｕcｅs imports　alｓo ｎｅcessａrｉlｙ ｒeduｃes　ｅｘpｏｒtｓ、
Uｎｔil the １970s ｍａｎy deveｌopiｎｇ coｕntriｅs were skeptical　abouｔ ｔhe poｓsibｉlity of exｐorｔing manｕfacｔuｒed gｏods、
In many cases,　impoｒt－ｓubsｔｉtutiｎg iｎｄuｓtｒialiｚation pｏliｃiｅs dovetailed ｎaturａlly with　exｉsｔinｇ pｏlｉticaｌ biａｓes、
9、Whａt aｒe ｔｈｅ voｌume ｅfｆect and　vaｌｕe eｆfect　of ａ　reａl excｈａnge　raｔe?　
10、Hoｗ ｄoｅｓ disposablｅ ｉne　ｃhaｎｇes affｅct　ｔhｅ Curｒeｎt　Acｃounｔ?
An ｉncrｅａsｅ ｉn disposable　iｎe　(Yd）　worｓens ｔhe CＡ、
A rise ｉｎ Yd causeｓ　ｄomｅsｔiｃ coｎsuｍｅrｓ to ｉnｃrease thｅｉr sｐeｎdiｎｇ on all ｇｏｏds、
11、How　ａboｕｔ　the　interest parity coｎditions？
Ｔｈｅ expeｃｔｅｄ reｔurns　on ｄepoｓiｔｓ ｏf ａnｙ twｏ cuｒrｅnｃiｅｓ　ａre　equal　when measurｅd　in　ｔhe ｓaｍe cｕｒrency、
It ｉmｐliｅs　that pｏｔentｉａl ｈｏlders of foｒeign ｃｕｒrｅｎcy　depoｓits　viｅｗ ｔhem all aｓ equallｙ ｄeｓiｒabｌe aｓsetｓ、
The　expｅctｅd　ｒａｔes ｏf　retｕｒn ａｒｅ　equal when:
ﻩﻩ 　 　 R$　= R€ ＋ (Eｅ＄／€　－　Ｅ＄/€）/E$／€ 　 　 　 　 　
12、Hｏw　ｄo chaｎges iｎ　thｅ ｃurrｅｎt exchanｇe raｔe affect　expected returｎs？
Depｒｅciａtｉｏn　of　a cｏuｎtry’s cｕrｒency todaｙ lowers the　exｐecｔed domestic ｃurrency return　on　ｆoreiｇn cｕrrencｙ dｅposｉｔs、
Apprecｉａtion of the ｄomesｔｉc ｃuｒrｅnｃy todａｙ raises thｅ ｄｏｍｅstiｃ　cuｒｒency retuｒｎ　expecｔｅd　oｆ　foｒeigｎ curｒency ｄeｐosits、
13、 How ａbout tｈｅ effecｔ　oｆ cｈａnging eｘｐectatiｏns　ｏn tｈe currｅnｔ exｃhangｅ ｒaｔe?
Ｔｈe Effect of Ｃhaｎginｇ Exｐecｔatioｎs on the Ｃuｒrent Exｃｈａnge Ｒａte
Ａ risｅ in　thｅ expｅcｔed futuｒe eｘchange rate　causes a riｓe in　tｈe　ｃurrenｔ ｅxchange ｒate、
A falｌ in the expected fｕｔurｅ ｅｘchange ｒａte　cauｓeｓ a fall　ｉn the ｃｕｒｒenｔ　eｘchａnge rａtｅ、
１4、 How　about　the fａctoｒs influencｉｎg money　demand?
Ｔhree　faｃtｏrs　iｎｆlｕeｎcｅ moｎey demand:
Expｅcted ｒetｕｒｎ
Riｓk
Liｑuｉdｉty
15、 Hｏｗ aｂout tｈｅ loｎg-ｒun effeｃtｓ ｏｆ money supply cｈａnges?
IV、 Aｎalyze ｔhｅ　ｆollｏwing prｏｂlems ｐrehenｓiveｌy、
１、Pleａse analｙze thｅ tｈeory ｏf multinationａｌ　enterｐrisｅ、
Ｔhｅ　Theory oｆ　Multiｎａtionａl Entｅｒprise
Two elemeｎts　expｌaiｎ　ｔhe existeｎｃe　of　ａ multinationａl：
Loｃａｔｉon ｍｏｔｉvｅ
A goｏｄ iｓ produced in　two (oｒ　mｏre） diｆferenｔ countriｅs ｒａthｅｒ　than one becausｅ oｆ：
Ｒesoｕrcｅs
Transport coｓｔs
Bａrriｅrｓ　oｆ trade
Ｉnｔernａlizaｔｉｏn moｔｉve
A goｏd　is produced in ｄiffeｒent ｌocatiｏns ｂy tｈe saｍｅ fｉrm　rａthｅr thａn by ｓeｐaｒaｔｅ firms bｅcause　it is more profitable to　carry transactions　on tｅcｈnｏlｏgy　ａnd ｍanageｍeｎt、
Technology　ｔrａｎsfer
Ｖｅrｔical　iｎteｇration
2、Trｙ to aｎaｌyze the ｅffeｃt，　cost and benefit　of impｏrtｉｎg ｔaｒｉｆｆ、
3、Trｙ ｔo paｒe　temporａrｙ　chａｎges　in　moｎetary　ａnｄ ｆiscaｌ　policy　ａnｄ permａｎeｎt shifts ｉn monetary and ｆiscal polｉcy(relaｔive to Chｉna　)、
Monetarｙ Ｐolｉcy
Aｎ　increａse in mｏney suｐply (i、ｅ、，　expansionaｒｙ ｍｏnetary　pｏｌｉcy) raisｅs　the　ecｏnｏmy’ｓ ｏuｔpｕｔ、
Ｔhe incｒease in moｎey supｐｌy ｃreates an eｘcess　ｓuｐply　ｏf moｎey,　which lowers　tｈe ｈome interest rate、
As ａ resｕlt, the ｄoｍestic　ｃｕrrｅncy must dｅpｒeciate (i、e、, ｈｏmｅ prｏｄuｃts ｂｅe　cheapｅr　relative ｔo foｒeign　products)　and　ａggregａte　demand iｎcreaｓes、
Fisｃal　Policy
An inｃrease in goｖｅrnmeｎt　ｓpenｄing, ａ ｃｕｔ ｉn　taxes, oｒ　some　bｉnaｔiｏn　ｏf　thｅ ｔwｏ (ｉ、e, eｘpansionaｒｙ　fiｓｃal　pｏlicｙ)　rａｉseｓ ｏutｐut、
Tｈe iｎｃrease　iｎ outｐut　raisｅs the ｔｒaｎsactions　demand for reaｌ moｎey hoｌｄｉngｓ, whｉch in tｕrn　iｎcreａses the home　ｉnｔerest　rate、　
Aｓ ａ resｕlt,　the　dｏmｅｓtｉc　currｅｎcy mｕsｔ　aｐpreciaｔe、
4、 Hｏw to undeｒsｔanｄ　extｅｒnａl balancｅ-ｔhe optｉmａｌ lｅｖel　ｏｆ ｔｈe Cｕrｒent　Accounｔ ｏn Cｈina、
5、　Hoｗ　aｂout　ｔhe resultｓ ｏf monｅtaｒy　expaｎsion　and fiｓcａl ｅxｐanｓｉon　poliｃｉes unｄｅr a ｆｉxed exｃhanｇe rate　resｐｅcｔiｖeｌy(ｒeｌａtive to Chｉna )?
Ｕnder a　ｆixｅd eｘｃhａｎge ratｅ, ｃentrａl　bａnｋ　moneｔａｒｙ policy tｏolｓ are powerlｅss　to affeｃｔ ｔhｅ eｃｏnｏmy’s ｍoｎey suｐpｌy oｒ its ｏuｔpｕt、
Figure １7－2 ｓhows　tｈe ｅcｏｎomy’s sｈoｒt－ruｎ ｅｑuilibrｉum aｓ poinｔ 1　wｈｅn　ｔhe cenｔral baｎk fixes thｅ eｘchａngｅ rａte at　thｅ lｅｖel E０、
Ｔｈe ｒisｅ in　oｕtput duｅ　to　ｅｘpａnsｉonaｒｙ fiscａｌ ｐolｉｃy raiｓｅｓ money ｄｅmaｎd、
To ｐｒｅvｅｎｔ aｎ increasｅ iｎ the homｅ　inｔerest rate ａnd　an appreciation ｏf　tｈe cｕrｒeｎｃｙ, tｈe cｅｎtｒal bank ｍust ｂuy foｒeign asseｔs with money (i、ｅ、, increasing　thｅ　mｏney supｐlｙ）、
Thｅ effｅcｔs　ｏf　expａnsionary fｉscal polｉcｙ whｅｎ ｔｈｅ ｅconomy’ｓ inｉtｉａl　equiｌｉｂｒiuｍ is ａt　poｉnｔ　1 ａｒe　iｌlusｔｒatｅｄ ｉn Ｆigure　１7－３、
6、 How ａbｏuｔ ｔhe　proｂlｅms ｗith ｅxｃesｓｉve Curｒｅnt　Ａｃcount surpｌuｓes (rｅlatｉvｅ ｔｏ Chinａ )?
Problems with Exｃessｉve Cuｒreｎt Ａcｃount　Sｕｒpｌｕｓeｓ:
Ｔｈeｙ　imｐｌy ｌower investment in　doｍestｉc plａｎt aｎd eｑuipｍeｎt、
They caｎ cｒeａte potenｔｉａｌ　pｒoblemｓ　for creｄitorｓ to collecｔ their moｎey、
Thｅｙ　maｙ be ｉｎconｖｅnient　foｒ ｐｏｌitical ｒeasoｎs、