Discover how a nation's balance of payments can affect its currency's exchange rate and the dynamics of its relationship in ...

In 1871-73, newly unified Germany adopted the gold standard, replacing the silver-based currencies that had been prevalent in most German states until then. The reform sparked a series of steps in ...

Today’s economic reality includes a world of free-floating fiat currencies, where the value of a nation’s currency is determined by supply and demand in the global foreign exchange or forex market.

After many years in which the US consistently pushed China to move in the direction of a market-determined exchange rate, the Trump Administration is now pushing China to effectively fix its exchange ...

The U.S.-China trade war and anti-Beijing protests in Hong Kong are testing the strength of the Hong Kong dollar’s 36-year peg to the U.S. dollar, which has helped make it an attractive market for ...

The Economic Issues series was inaugurated in September 1996. Its aim is to make some of the economic research being produced in the International Monetary Fund on topical issues accessible to a broad ...

Put simply, exchange rates compare the value of one currency to another. They measure how much of one currency it takes to purchase a unit of another. Exchange rates are ultimately determined in ...

Many economists argue that a flexible exchange rate regime is preferable to a fixed exchange rate regime because it helps to insulate the domestic economy from adverse external shocks. For example, ...

The foreign exchange rate, often abbreviated as “forex” or “F.X.,” is a fundamental concept in international finance and trade. It plays a pivotal role in the global economy and impacts individuals, ...