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Discuss the operation of the foreign exchange market

Assignment Help International Economics
Reference no: EM132192514

Question: Essay

Instructions: Based on your findings in the readings, place yourself in the role of a person determining the U.S. currency rate. Recently, you found that the U.S. dollar appreciated against the New Zealand dollar and depreciated against the Chinese yuan. If your goal was to promote U.S. exports, what would be your strategies? Address the concepts below within your essay submission.

1. Discuss the operation of the foreign exchange market.

2. Explain how traders benefit from the forward exchange market.

3. Describe how exchange rates are determined in a free market.

In addition to addressing the bullets listed above, your essay should be comprised of the sections listed below.

1. Introduction: Include an engaging paragraph or two on the important concepts that the reader will learn about while reading your essay assignment.

2. Discussion: Provide a brief summary of one article by comparing and contrasting the advantages and disadvantages of promoting U.S. exports. Then, briefly state your position in light of the article. The online databases listed below are recommended in order to find articles for the essay assignment.

• Business Source Complete

• ABI/INFORM Collection

3. Conclusion: Summarize the main results, and provide policy recommendations to promote U.S. exports.

Your APA-style essay should be a minimum of 500 words in length, not counting the title and reference pages. You are required to use a minimum of two sources; at least one source must come from the CSU Online Library (one source may be your textbook). All sources used, including the textbook, must be referenced; paraphrased material must have accompanying in-text citations.

Carbaugh, R. J. (2017). International economics (16th ed.). Boston, MA: Cengage Learning.

Reference no: EM132192514

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