Contents
Currency Swings: A Matter of Supply & Demand, How Shifting Demand and Supply Move Currencies
What you’ll learn
- What is the effect of rising demand of foreign exchange on exchange rate?
- If the demand of foreign exchange decreases, what is the impact on exchange rate?
- How increased foreign exchange supply effects exchange rate?
- What is the relationship between foreign exchange supply increase and forex rate movement?
Requirements
- Basic understanding of economic principles such as supply and demand, inflation and interest rates
Description
- What is meant by exchange rate?
- What are the reasons for increase in foreign exchange demand?
- What is the impact of increase in foreign exchange demand on exchange rate?
- When foreign exchange demand increases, there is appreciation or depreciation of foreign currency? Comment.
- When demand of foreign exchange increases, what is the impact on domestic currency?
- When forex demand increases, the new demand curve shifts to the right or left of the previous demand curve?
- Why demand of foreign exchange decreases?
- What is the impact of decrease in foreign exchange demand on exchange rate?
- When demand of foreign exchange decreases, the demand curve also shifts – whether to the right or left of existing demand curve?
- When foreign exchange demand decreases, there is appreciation or depreciation of foreign currency. Discuss.
- What may be the possible reasons behind the increase in supply of foreign exchange?
- When foreign exchange supply increases, what is the effect on exchange rate?
- When supply for foreign exchange increases, the supply curve shifts to right or left. Comment.
- What are the possible reasons for the supply of foreign exchange to decrease?
- When foreign exchange supply decreases, what is the affect on exchange rate?
- What is the effect on supply curve when supply of foreign exchange decreases?
Who this course is for:
- Students and any individual who enjoys learning about various concepts of economics
