世新大學九十三學年度碩士在職專班招生考試試題卷

系所別

考試科目

財務金融學系

財經英文閱讀

   *考生請於答案卷內作答 

 

A.       Translation of key words. Please translation the following key terms in Chinese

      (2 points each, 30%)

 

1. _____________________Hedging

2. _____________________Arbitrage

3. _____________________Call Options

4. _____________________Portfolio Choice

5. _____________________Optimization

6. _____________________Marginal Utility

7. _____________________Indifference Curve

8. _____________________Asset Allocation

9. _____________________Idiosyncratic Risk

10 .____________________Risk Aversion

11. ____________________Equity Premium

12. ____________________Forward Discount

13. ____________________Inter-temporal Optimization

14. ____________________Asymmetric Information

15. ____________________Payoffs

 

B.       Answering the subsequent questions after reading the paragraphs below.(7points each,70%)

Japan’s economy grew by 7% in the last three months of 2003, its fastest quarterly expansion for more than 13 years. But the Japanese are not celebrating yet. A new economic force is rising in Asia. Growing at an annual pace of 7% in the last quarter of 2003, it left both the old guard of Europe and the big shot, America, for dust. With its exports surging by 17.9%(at an annualized rate) in the three months from October to December, its monetary authorities are struggling to keep its currency down. Meanwhile, its firms are scrambling to add capacity to meet the demands of customers at home and abroad: investment in fixed capital grew by 22% in the final quarter of 2003 (again, at an annualized rate). This new force is not China, the aggressive upstart, bit Japan, the forgotten giant of Asia. Its GDP figures for the fourth quarter, released on Wednesday February 18th 2004, were its best for over 13 years. GDP growth of 7% may not be sustainable. The figure may also be flattered by continued deflation: Japan produced 7% more output, but the money value of that output grew by a more modest 2.6%. Still, after a comatose decade or more, Japan’s metabolism may finally be picking up.

 

1.         Who is the rising economic force in Asia? (A) Taiwan; (B) Hong Kong; (C) Japan; (D) Korea; (E) China

2.         How is Japan’s growth rate of 7% measured? (A) Growth rate gross national product; (B) growth rate of stock market index; (C) annual growth rate of gross domestic product; (D) growth rate of population; (E) growth rate of investment

 

           The signs have been there for some time. The Bank of  Japan has been  pumping more money into the country’s anemic financial system, via more  

        channels than ever before. When the bank’s newish governor, Toshihiko Fukui, says that he will persist until he prevails over deflation, people are starting to

        think he means it. Corporate profits are improving dramatically; bank lending is still falling, but less rapidly than before. But leaving aside these earlier hints and

        hopes, the economy’s dramatic performance in the fourth quarter may mark the moment when the rest of the world sits up and takes notice.

 

3.         Japan’s financial system is anemic, which means: (A) Short of liquidity;  (B) a conservative system; (C) a highly regulated system; (D) liberalized;

      (E) highly liquid.

4.         When the rest of the world economies sit up and takes notice of Japan’s

      economic performances? (A) the 1st quarter of 2003  (B) the 2st quarter of

      2003; (C) the 4st quarter of 2002 ; (D) the 1st quarter of 2004; (E) the 4st

      quarter of 2003.

        

           Indeed, some of Japan’s economic leaders fear that their counterparts in America and Europe will take too much notice. As the sick man of the Group of

      Seven(G7) rich nations, Japan could count on the on the forbearance of other members as it waded into the foreign-exchange markets to manipulate it waded

      into the foreign-exchange markets to manipulate its currency. Last month, Japan spent ¥7 trillion ($67 billion) holding down the yen. Last year, it spent ¥20

      trillion. A weak yen is essential to stimulate exports and inflate the economy, argue the Japanese. But that argument is harder to win when your economy is

      growing so much faster than those of your rivals.

 

5.         What dose the Japanese authority do to the foreign exchange rate? (A) keep it  (B) keep devaluation; (C) peg to the US$; (D) leave it float freely ; (E) appreciate it.

6.         Why did the Bank of Japan spend ¥20 trillion in 2003? (A) to fight inflation; (B) fiscal expansion; (C) expansionary monetary policy; (D) to devalue the yen; (E) to push up the yen.

 

         Certainly, the currency’s 10% gain against the dollar over the course of last year has done little damage as yet to Japan’s trade balance. As long as its main

      export  markets, such as China and the United States, keep growing, its firms should be able to cope with a modest loss of competitiveness in the from of a

      higher yen.

 

7.         Would a mild strong yen threaten Japan’s recovery? (A) Yes; (B) No;  (C) Unrelated; (D) it depends on other conditions; (E) May be.

8.         It says a high yen would cause a modest loss of competitiveness. What does a “ high yen” mean? (A) An appreciating yen; (B) a depreciating

      yen; (C) a high inflation; (D) a serious deflation measured in yen; (E) none of the above.

 

         Besides, one of the more encouraging aspects of Japan’s present recovery is its broad base. Foreign demand contributed about 1.6 percentage points to

      Japan’s fourth-quarter growth. But domestic consumers chipped in 2 percentage points and firms’ spending on capital added a full 3.2 percentage points. A

      stronger yen would make Japan’s exports more expensive. It would also make imports cheaper and monetary conditions tighter. This is perhaps the greater

      worry for a country still struggling with deflation. According to the GDP deflator, a broad index of prices, deflation tightened its grip on the economy in the

      fourth quarter, with  prices falling at an annual rate of 4.4%.
               9. What is deflation? (A) Falling exchange rate; (B) rising interest rate; (C) A falling price level; (D) A declining inflation rate; (E) A hyper-inflation.

               10.What is the greater worry for Japan when it is still struggling with deflation. (A) An appreciating yen; (B) A depreciating yen; (C) rapid

                   economic growth; (D) persistent economic recession; (E) all of the above.