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Exchange Rate Management

Exchange Rate Management. Exchange Rate Policy can be characterized along two dimensions. Currency Union (Euro). Commitment. Hard Peg (Yuan). Target Zone (Bretton Woods). Flexibility. Fixed Exchange Rates. Flexibility.

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947 views • 45 slides

Basic Theories of the Balance of Payments

Basic Theories of the Balance of Payments. Three Approaches. Three Approaches. The Elasticities Approach to the Balance of Trade The Absorption Approach to the Balance of Trade The Monetary Approach to the Balance of Payment ( MABOP ). The Elasticities Approach to BOT.

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641 views • 33 slides

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Exchange Rate Management

Basic Theories of the Balance of Payments