Exchange Rate

Dutch Disease
Analysis of the economic concept of Dutch Disease, its implications, and associated frameworks.
Fixed Exchange Rate
An economics term defining a system where a country’s exchange rate remains constant relative to a benchmark currency or basket of currencies.
Currency Risk
The risk that changes in exchange rates will affect the profitability of overseas activities and commitments.
Dirty Floating
An exchange rate regime where a currency's value is allowed to fluctuate in response to foreign exchange market mechanisms with occasional government intervention.
Dollar Standard
An exchange rate management system where other countries peg their currencies to the US dollar and hold reserves primarily in US dollars.
Exchange Rate Bands
Limits to variations in exchange rates when a country commits itself to hold the exchange rate between its own currency and some foreign currency or currencies within a limited band.
Exchange Rate Overshooting
An exploration of the term 'exchange rate overshooting,' its meaning, historical context, and analytical frameworks in economic theory.
Exchange Rate Regime
A comprehensive overview of the systems by which exchange rates between different currencies are determined.
Flexible Exchange Rate
An overview of the flexible exchange rate, commonly known as the floating exchange rate.
Foreign Exchange Rate
An examination of the concept, historical development, and analytical frameworks of foreign exchange rates in economics.
Free Exchange Rate
A comprehensive definition of the term 'Free Exchange Rate' and its economic implications.
Macroeconomic Trilemma
An exploration of the macroeconomic trilemma, balancing exchange rate stability, monetary policy independence, and capital market openness in an open economy.
Managed Floating Exchange Rate
A system under which a country’s exchange rate is not pegged, but the monetary authorities manage it through market interventions and macroeconomic policies.
Over-valued Currency
Over-valued currency - a currency whose exchange rate is too high for a sustainable equilibrium in the balance of payments
Petro-currency - Definition and Meaning
The currency of a country heavily dependent on oil exports. The exchange rate of a petro-currency is strongly influenced by the world price of oil.
Pure Floating Exchange Rate
Understanding the concept of a pure floating exchange rate, its implications, and associated risks.
Rate of Exchange
A detailed examination of the term 'Rate of Exchange' in economic context, including definitions, historical background, and relevant analytical frameworks.
Real Effective Exchange Rate
The real effective exchange rate (REER) is the exchange rate of a country’s currency against a weighted combination of other currencies, adjusted for relative consumer prices, and reflects the overall competitiveness of the country.
Talk Down
The attempt to bring down the value of an economic variable through persuasion by the authorities.