FIN Unit1 - Individual Project Research Paper Example | Topics and Well Written Essays - 1250 words

quintuplet Unit1 - Individual Project - Research Paper ExampleThe proposal will consider each state of matters merchandise policies, currencies and culture. Turkey and Italy Review This part of the assignment will discuss about the property, trade policy and culture of a turkey and Italy. Currency of two countries Advantages and Disadvantages Italy is the member of atomic number 63an Union. Euro is the currency of Italy. This currency has both advantages and disadvantages. The advantages of this currency outweigh the disadvantages. Euro is the superstar currency in the midst of the members of European Union. It eradicates the need of currency exchanging between Economic and monetary members. Economic and Monetary members saved an average of 30 billion US dollar mark in a year by switching to this currency. Elimination of volatility of currency exchange consec calculate between the members of European Union is another advantage of Euro. On the other hand, switching to a single currency forced the members of European Union to give up their rights to the change of monetary and economic policies. It is the major(ip) disadvantage of Euro. Despite the disadvantage, the members of European Union made it easy to sell and purchase the goods cross borders. Moreover, the loaning and borrowing become easy through the concept of this single currency. In addition, fixed exchange rate of 2.25% provides signifi displacet benefits to the members of European Nation. This benefit includes the promotion of international enthronement and trade. In developing countries this benefit can enhance economic growth. Recent financial crisis is the major concern for Italy. On the other hand, Turkey is not the member of European Union. The country uses Turkish Lira as their major currency. The currency of Turkey has several(prenominal) bilateral tax treaties and investment with US that can ensure the elimination of double taxation. Moreover, this currency gives take on repatriation of capital in the convertible currencies. The central bank of Turkey has tightened the monetary policy after the lump rate increased to 10.5% in the year 2011. The central bank of the Republic of Turkey provides several bendable policies, such as foreign exchange auctions, interest rate corridor, and adjustments to the repo auctions and requirements. These policies will help to stabilize the Turkish Lira. The currency recently has depreciated by 25%. EU and Turkey Trade Policies Europe is considered as the ahead(p) global trading block. It accounts for one-fifth of the global trade. Each and every trade policy is developed for the 27 member states among the European Union. These members generally share a single market and border. It helps to empower European counsel when it talks with all the partners of European Union. The commission effectively acts as the negotiator for a specific dialog process. This commission represents the members of European Union in the World Trade Org anization. The European Commission provides unity to vomit up a key open for global trading process that offers fair rule. However, the trade policy of Europe helps several European organizations to generate employment and significant investment opportunities. Several new markets for the European Eexports are effectively open through the trade policy of Europe. The European Commission works on daily basis to remove unwanted export barriers. Moreover, effective and potential opportunities in European investment are motivating several