Review of Economic Concepts

The spot exchange rate for CHF/EUR is 0.8342 and the 1-year forward quotation is 0.353%. The 1-year forward exchange rate for EUR/CHF is closest to:

Assume the exchange rate between the Trotter (TRT) and the Roeckl (RKL) is 5.50 TRT/RKL and the exchange rate between the Roeckl and the Passage (PSG) is 8.00 RKL/PSG. The cross rate between the PSG and the TRT is closest to:

Given an exchange rate of USD/CAD 0.9250 and USD/CHF 1.6250, what is the cross rate for CAD/CHF?

If the AUD/CAD exchange rate is 0.9875 and the 60-day forward points are -25, the 60-day AUD/CAD forward rate is closest to:

If the no-arbitrage forward exchange rate for a euro in Japanese yen is less than the spot rate, then the interest rate in:

The spot exchange rate is 0.6243 USD/GBP and the 1-year forward rate is quoted as 3.016%. The 1-year forward exchange rate for USD/GBP is closest to:

The Japanese yen is trading at JPY/USD 115.2200 and the Danish krone (DKK) is trading at JPY/DKK 16.4989. The USD/DKK exchange rate is:

An analyst observes that one US dollar is worth eight Mexican pesos (MXN) or six Polish zlotys (PLN). The value of one PLN in terms of MXN is closest to:

The USD/EUR spot exchange rate is 1.3500 and 6-month forward points are â75. The 6-month forward exchange rate is:

The spot exchange rate is 1.1132 GBP/EUR and the 1-year forward rate is quoted as +1349 points. The 1-year forward exchange rate for GBP/EUR is closest to:

Given the following quotes, GBP/USD 2.0000 and MXN/USD 8.0000, calculate the direct MXN/GBP spot cross exchange rate.

When forward currency exchange-rate contracts are available, the difference between the spot and forward exchange rates for a pair of currencies is most likely to reflect the difference between the two countries':

The spot exchange rate for Canadian dollars (CAD) per Swiss franc (CHF) is 1.1350 CAD/CHF and the 12-month forward exchange rate is 1.1460 CAD/CHF. The forward quote is a:

The three-month interest rate in the currency MNO is 4% and the three-month interest rate for the currency PQR is 5%. Based only on this information, the three-month forward MNO/PQR exchange rate:

The spot CHF/EUR exchange rate is 1.2025. If the 90-day forward quotation is +0.25%, the 90-day forward rate is closest to:

If the current spot exchange rate for quotes of JPY/GBP is greater than the no-arbitrage 3-month forward exchange rate, the 3-month GBP interest rate is:

If the spot exchange rate between the British pound and the U.S. dollar is GBP/USD 0.7775, and the spot exchange rate between the Canadian dollar and the British pound is CAD/GBP 1.8325, what is the USD/CAD spot cross exchange rate?

Country G and Country H have currencies that trade freely and have markets for forward currency contracts. If Country G has an interest rate greater than that of Country H, the no-arbitrage forward G/H exchange rate is:

The spot exchange rate between the U.S. dollar and the euro is 1.2749 USD/EUR. The 90-day forward exchange rate is quoted as +12.4 points. The forward exchange rate is closest to:

The exchange rate of the Athelstan riyal (ATH) with the British pound is 9.00 ATH/GBP. The exchange rate of the Mordred ducat (MOR) with the U.S. dollar is 2.00 MOR/USD. If the USD/GBP exchange rate is 1.50, the ATH/MOR cross rate is closest to:

Spot and one-month forward exchange rates are as follows:

If the exchange rate between the U.S. dollar and the Canadian dollar is USD/CAD 0.6403, and the exchange rate between the Canadian dollar and the UK pound sterling is CAD/GBP 2.5207, the exchange rate between the U.S. dollar and the UK pound sterling, stated as GBP/USD, is closest to:

With respect to exchange rate regimes, crawling bands are most likely used in a transition toward:

Akor is a country that has chosen to use a conventional fixed peg arrangement as the country's exchange rate regime. Under this arrangement, Akor's exchange rate against the currency to which it pegs:

A country's central bank announces a monetary policy goal of a stable exchange rate with the euro, which it defines as deviations of no more than 3% from its current exchange rate of 2.5000. The country's exchange rate regime is best described as a:

Which of the following is least likely a common objective of governmental capital restrictions?

A government that imposes restrictions on capital flows into or out of its country is most likely attempting to:

A government that wishes to reduce the volatility of domestic asset prices and protect domestic industries is most likely to:

In which of the following exchange rate regimes can a country participate without giving up its own currency?

In the context of the foreign exchange market, investment accounts are said to be leveraged if they:

The difference between Country D's nominal and real exchange rates with Country F is most closely related to:

The exchange rate for Japanese yen (JPY) per euro (EUR) changes from 98.00 to 103.00 JPY/EUR. How has the value of the EUR changed relative to the JPY in percentage terms?

Assuming no changes in the prices of a representative consumption basket in two currency areas over the measurement period, changes in the nominal exchange rate:

At a base period, the CPIs of the countries of Tuolumne (currency is the TOL) and Bodee (currency is the BDE) are both 100, and the exchange rate is 0.90 BDE/TOL. One year later, the exchange rate is 0.75 BDE/TOL, and the CPI has risen to 110 in Tuolumne and 105 in Bodee. The real exchange rate is closest to:

Forward exchange rate

Currency Appreciation

Real Exchange Rate

Spot exchange rate

Floating exchange rate

Fixed exchange rate

Target zone

Forward Discount

Forward Premium

Capital Restrictions

Quota

Tariff

Free Trade Area

Customs Union

Economic Union

Monetary Union

Conventional Fixed Peg

Recognition Lag

Action Lag

Impact Lag

Automatic Stabilizers

Expansionary Fiscal Policy

Contractionary Fiscal Policy

Crowding-Out Effect

Ricardian Equivalence

Economic Contraction

Economic Expansion

Inflationary Expansion

Deflation

Stagflation

Discount Rate

Federal Funds Rate

Open Market Operations