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For the next 2 separate essay questions please do not use formulas, only explanation... they are ----- 

“A currency appreciation is good for a country, and a currency depreciation is bad”. Please comment on this statement. Does this require a particular exchange rate regime? A level of International Reserves?

and this is the second essay (once again no formulas only explanation)(also they need to be about the same size a little less than one page single spaced).... The second essay question is ---- 

What is off-balance-sheet (OBS) risk? discuss the major types of OBS activities and briefly explain the type of rosk they involve.

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