What you’ll learn to do: define currency exchange rates and explain how they influence trade balances

In this section, you will take a look at the foreign exchange market and analyze how different currencies necessitate some degree of consistency for purposes of international trade.

LEARNING ACTIVITIES

The learning activities for this section include the following:

• Reading: Exchange Rates and International Capital Flows
• Reading: The Foreign Exchange Market
• Reading: Strengthening and Weakening Currency
• Reading: Demand and Supply Shifts in Foreign Exchange Markets
• Self Check: Exchange Rates and International Finance

Take time to review and reflect on each of these activities in order to improve your performance on the assessment for this section.