After studying this chapter, you should be able to;
- Describe how demand and supply determine the price of foreign exchange.
- Discuss the role of international banks in the foreign-exchange market.
- Assess the different ways firms can use the spot and forward markets to settle international transactions.
- Summarize the role of arbitrage in the foreign-exchange market.
- Discuss the important aspects of the international capital market.
After studying this chapter, you should be able to;
- Describe how demand and supply determine the price of foreign exchange.
- Discuss the role of international banks in the foreign-exchange market.
- Assess the different ways firms can use the spot and forward markets to settle international transactions.
- Summarize the role of arbitrage in the foreign-exchange market.
- Discuss the important aspects of the international capital market.
