Fully revised and reorganized by Anna Getmansky and Alejandro Quiroz Flores to fit the exciting new edition of Bruce Bueno de Mesquita's Principles of International Politics, this accompanying workbook continues to feature class-tested, user-friendly exercises that walk students through the building blocks of the strategic method, ensuring that even novice students have the opportunity to develop and hone their problem-solving skills and can successfully apply what they have learned in the text. The fifth edition of Applying the Strategic Perspective: Problems and Models, Workbook introduces students to a wide range of problems so that they master basic principles as well as test their capabilities with more challenging material. Easy for students to use, and with perforated pages for turning in assignments, the workbook also comes with a solutions manual for instructors.
Chapter 11: Globalization: International Winners and Losers
Globalization: International Winners and Losers
Exercise 11-1. Exchange Rates I
You are a banker watching exchange rates between the US and Norway. In June 2007, one US dollar was equal to 5.86 Norwegian kroner. You look again in July 2008 and see that one US dollar is now equal to 5.64 kroner.
- Has the krone gotten stronger or weaker against the dollar?
- Has the dollar gotten stronger or weaker against the krone?
- Given your answers to parts a and b of this exercise, will this result in Norway's importing more or fewer goods from the US? Why?
- Who in the US benefits from the new exchange rate? Why?
- Who in the US is hurt by the new exchange ...