SEU Macroeconomics Net Exports and Net Capital Flow Question

I’m working on a Macro Economics exercise and need support.

Question 1: 

• In the light of material of your chapter in your text book “ The Monetary System” explain what problems an economy may face without money supply. 
• Elaborate the process of money creation by commercial banks in fractional reserve banking system.
• How a central bank uses many tools to control inflation in an economy? 

(Chapter : The Monetary System)

Question 3:

Explain why and how net exports and net capital flow are related to each other.If Saudi Arabia experience trade deficit does it necessarily create trouble for a county’s economic growth? Justify your answer with appropriate examples. 

In the light of Purchasing-Power Parity Theory explain how nominal exchange rates of a country are determined in relation to other countries 

(Chapter: Open-Economy Macroeconomics: Basic Concepts)

Question 5: Suppose a country was facing the problem of budget deficit and by reducing government expenditures the government has achieved the target of balanced budget. With the help of appropriate diagrams explain how a country’s shift from budget deficit to balanced budget would affect its investments, economic growth, net capital outflow and currency exchange rate? 

(Chapter: A Macroeconomic Theory of the Open Economy)