Consider the following statements:
1. The idea of Tobin Tax was to end the speculation and volatility in the stock prices of the secondary market.
2. Scarcity of dollars in the Indian market are favorable for the exporters and not for the importers.
3. Nominal Exchange rate considers the purchasing power of the country and excludes the effects of Inflation.
Which of the statements given above is/are incorrect?
● Statement 1 is incorrect: The currency exchange transactions may cause volatility in the exchange rates due to speculative trading leading to appreciation or depreciation in the value of a currency as the case may be. Currency exchange transactions done by the authorized currency dealers are subjected to GST. Tobin tax was suggested to avoid speculation and volatility in the currency exchange market. It does not deal with the volatility in the stock market. ● Statement 2 is correct: Scarcity of Dollar in Indian market in relation to its demands leads to appreciation in the price of dollar and depreciation in the Indian rupee with respect to dollars. This situation is not favorable for the importers as for goods worth 1 dollar, more rupees are to be spent. However, this benefits the exporters, as their goods appear cheaper in the international market. ● Statement 3 is incorrect: Nominal Exchange rate refers to the price of a currency of a country with respect to Dollar. It is not adjusted for the effects of inflation and the purchasing power of the country.
The primary function of the General Agreement on Tariffs and Trade (GATT) has been to limit trade barriers and promote world trade through the:
Which of the following statements is true about Facebook?
Head-to-head positioning requires a product to:
Consumer-generated online marketing efforts to negatively promote brands and companies for which they are non-fans are known as ___________.
Stores that carry a considerable assortment (depth) of a related line of items are called:
Adding QR codes to products that allow consumers to connect with the company online, or using a hashtag in a commercial or during a television show are ...
As a recent graduate of university, you decided to open your own nail art studio. In this scenario, you would be classified as a(n):
Using a _______________ is often a great way to further develop a ______________ between consumer service expectations and actual experience.
The owners of Indian Authentic Foods interviewed hundreds of Indians in order to identify recipes using the food products the company produces and marke...
Indirect channels for consumer goods