Exercises : Our Global Market

1. Exercises: Our Global Market 1. Just as the Dollar is to the U.S. and the Yen is to Japan so is the Pesoto Mexico and the Dollar to Canada. 2. The Peso is to Argentina and the Dollar is to Australia just as the Ruble is to Russia and the Rupee to India. • Washington DC is to the U.S as Ottawa is to Canada, Canberra to Australia, Islamabad to Pakistan and Moscow to Russia • Just as the Naira is to Nigeria and the Rand is to South Africa so is Real to Brazil and Yuan to China. • Just as the Pound is to the U.K. and the Rupiah to Indonesia, so is Rupee to Pakistan and Baht to Thailand. • Just as Havana is to Cuba and Wellington New Zealand so is Jakarta to Indonesia and Pyongyangto North Korea.

2. Just as the “S&P 500” is to the U.S. and the “Nikkei 225” is to Japan so is the “TSX” to Canada and the “ASX 200” to Australia. • The “IPC” is to Mexico (Mexico's benchmark index = IPC) and the “Bovespa” to Brazil just as the “RTS” (Russian Trading System) is to Russia and the “BSE 30” (SENSEX) to India. • As “Shanghai Composite” is to China as “HangSeng” is to Hong Kong so is “Karachi 100” to Pakistan and “KLSE Composite” to Malaysia. • The currency in Argentina = Peso, in Nigeria = Naira, in Sweden = Krona, in Israel = Shekel, in Kuwait = Dinar, in Malaysia = Ringgit, in Poland = Zloty, in Saudi Arabia = Riyal, in S. Africa = Rand, in Hungary = Forint, in Thailand = Baht, in Denmark = Krone, Norway = Krone, in Egypt = Pound

3. 11. Just as “Seoul Composite” is to South Korea and the “DAX” is to Germany so is “CAC 40” to France and “FTSE 100” to the U.K. 12. The “Bel-20” is to Belgium just as “MIB” is to Italy, the “AEX” to Netherlands and “IBEX 35” to Spain. 13. The “Swiss Market” is to Switzerland just as “Straight Times” is to Singapore, the “Kospi” to South Korea, and the “TSEC Weighted” to Taiwan. TSEC = Taiwan Stock Exchange Corporation 14. The pound club includes Britain, Lebanon, Egypt, while the dollar club includes US, Canada, Hong Kong, Singapore, Taiwan, Australia,New Zealand, and Zimbabwe.

4. The PIIGS of the EU -- Portugal, Ireland, Italy, Greece, Spain. • What do they have in common? • They are facing deficits and debts that could result in national defaults and threaten the unity of the European Union

5. The BRIC stands for emerging markets of Brazil, Russia, India, and China. • These countries cover 25 percent of the world’s land mass, 40 percent of the world’s population, and are increasingly run as global market economies.