Questions tagged [floating exchange rate]

CryptoVisionary Thu Aug 08 2024 | 7 answers 1456

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.

SeoulSerenitySeekerPeace Fri Jul 19 2024 | 5 answers 954

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.