0
What else can I help you with?
What is the money rate?
There is no single "money rate". There are rates of exchange between the currencies of most countries. These are dynamic rates and change continuously. You can find reasonably up-to-date rates from various currency exchange rate websites.Then there are interest rates for borrowing and lending. Interest rates for borrowing will depend on what you are borrowing for, how long you are borrowing for and your credit-worthiness. The rate of interest that you might get for saving depends on the amount and the period.All these rates depend on the state of the economy and the expected development in the economy over the period in question.
Explain using economic models how an exchange rate is determined under a floating exchange rate regime What are the factors that can cause an appreciation in exchange rates Malaysia has recently cha?
Exchange rates are determined through supply and demand. An increase in interest rates can appreciate an exchange rate as investors convert their money into that currency to take advantage of a higher return on their money.
What are the advantages of exchange rate?
The advantages of floating exchange rates are: Flexibility and automatic adjustment, Flexibility in determining interest rates, Greater insulation from other countriesâ?? economic problems, Lower foreign exchange reserves.
How can the Federal Reserve effectively target a higher interest rate?
The Federal Reserve can effectively target a higher interest rate by adjusting the federal funds rate, which influences borrowing costs for banks and ultimately affects interest rates for consumers and businesses. By increasing the federal funds rate, the Fed can encourage higher interest rates in the broader economy.
How might a rise in local currency affect a country's interest rates?
It may also encourage a decrease in the interest rates in the country if the central bank of that country wants to maintain the currency exchange rate and a decrease in the interest rate would spur local investment.
Where do the US interest rates rate when it comes to foreign exchange?
The U.S interest rates rate high when it comes to foreign exchange, because we do a lot of trading with other countries, which makes our rates go up a lot higher.
What is the money rate?
There is no single "money rate". There are rates of exchange between the currencies of most countries. These are dynamic rates and change continuously. You can find reasonably up-to-date rates from various currency exchange rate websites.Then there are interest rates for borrowing and lending. Interest rates for borrowing will depend on what you are borrowing for, how long you are borrowing for and your credit-worthiness. The rate of interest that you might get for saving depends on the amount and the period.All these rates depend on the state of the economy and the expected development in the economy over the period in question.
Explain using economic models how an exchange rate is determined under a floating exchange rate regime What are the factors that can cause an appreciation in exchange rates Malaysia has recently cha?
Exchange rates are determined through supply and demand. An increase in interest rates can appreciate an exchange rate as investors convert their money into that currency to take advantage of a higher return on their money.
Where can one compare interest rates for loans in the US?
There are a number of different places that one can compare interest rates in the US. Some of these companies that one can compare interest rates for loans in the US are Nerd Wallet and Deposits Interest Rate Exchange.
What has the author Paul D McNelis written?
Paul D. McNelis has written: 'Volatility reversal from interest rates to the real exchange rate' -- subject(s): Interest rates
What are the advantages of exchange rate?
The advantages of floating exchange rates are: Flexibility and automatic adjustment, Flexibility in determining interest rates, Greater insulation from other countriesâ?? economic problems, Lower foreign exchange reserves.
How can the Federal Reserve effectively target a higher interest rate?
The Federal Reserve can effectively target a higher interest rate by adjusting the federal funds rate, which influences borrowing costs for banks and ultimately affects interest rates for consumers and businesses. By increasing the federal funds rate, the Fed can encourage higher interest rates in the broader economy.
How might a rise in local currency affect a country's interest rates?
It may also encourage a decrease in the interest rates in the country if the central bank of that country wants to maintain the currency exchange rate and a decrease in the interest rate would spur local investment.
Does the federal government influence interest rates?
The Federal Reserve, which is a part of the federal government, sets the Prime Rate, which is a rate which banks loan to each other and also the rate at which banks can borrow from the federal government. This prime rate, in turn, affects the interest rates which consumers pay for loans.
When a country experiences capital flight what is the effect on its interest rate and exchange rate?
interest rate decreases and exchange rate increases
What are the factors that drives interest rate up?
Factors that greatly affects interest rate, whether an increase or decrease, are economic and political stability. To list a few: Country's Inflation (exchange rate). Country's legislative changes.
What are some of the factors that affect the exchange rate in the long run?
Some factors that can affect exchange rates in the long run include interest rates, inflation rates, political stability, economic performance, and government debt. These factors can influence investor confidence, which in turn impacts the demand for a country's currency on the foreign exchange market and ultimately its exchange rate.
