What is a floating exchange rate?
Can you please explain what a floating exchange rate is, and how does it differ from a fixed exchange rate? In a floating exchange rate system, how does the market determine the value of one currency relative to another? Are there any advantages or disadvantages to using a floating exchange rate system? How does it affect international trade and investment? Additionally, can you give some examples of countries that use a floating exchange rate system?
What is a flexible exchange rate system?
Could you please explain what a flexible exchange rate system entails? I'm curious to know how it differs from other types of exchange rate systems and how it impacts economies globally. Additionally, I'd like to understand the benefits and drawbacks associated with a flexible exchange rate system and how governments typically manage it. Thank you for your insights.
What is a floating or flexible exchange rate regime?
Could you please elaborate on the concept of a floating or flexible exchange rate regime? How does it differ from a fixed exchange rate system? And what are the advantages and disadvantages of adopting such a system for a country's economy? I'm particularly interested in understanding how it impacts international trade and capital flows.
Does Australia have a floating exchange rate?
Could you elaborate on whether Australia maintains a floating exchange rate system? I'm particularly interested in understanding how the Australian dollar's value is determined in the international market. Does the Australian government have any direct control over the exchange rate, or is it primarily determined by supply and demand? Additionally, how does the floating exchange rate system affect Australia's economic policies and trade relationships with other countries? It would be great to get a concise yet comprehensive answer to these questions.