Introduction to Global Business
financial account encompasses a domestic nation's assets overseas, assets owned by foreign countries within the domestic nation and the net financial derivatives. There are three kinds of foreign exchange markets that include the fixed, managed floating and the independent floating exchange rate systems. The elements of the foreign exchange market includes the forex market, which is split into the spot market, futures market and forward market. The international monetary system has evolved over the years. It started out with the gold standard where the monetary system had different currencies pegging their currencies to the market value of gold. This moved on to the Bretton Woods Agreement that included an international system having the U.S. dollar pegged at… Continue Reading...
