CBSE Class 12-commerce Macroeconomics Exchange Rate: Meaning and Types
- Define foreign exchange market.
- Flexible rate of exchange called for free rate of exchange. Justify.
- Give the meaning of appreciation and depreciation of domestic currency.
- Differentiate between devaluation and depreciation of domestic currency.
- Give the impact of appreciation and depreciation of currency on exports and imports.
- Does a rise in exchange rate boost exports in an economy?
- Does an increase in interest rate lead to an appreciation of domestic currency?
- What is purchasing power parity?
- What are the advantages of fixed exchange rate?
- What does a change from $1 = Rs 60 to $1 = Rs 55 represent?