In this article we will discuss about the merits and demerits of multiple exchange rates. Immediately after the Second World War, almost 50 countries of the world were having a complex system of multiple exchange rates. The prominent among them were West Germany, Argentina and a number of Latin American countries. By 1950's, the system was completely abandoned because of [...]
Here is an essay on ‘Exchange Rates’ for class 11 and 12. Find paragraphs, long and short essays on ‘Exchange Rates’ especially written for school and college students. Essay # 1. Meaning of Exchange Rate: The rate of exchange is the rate at which the currency of one country is exchanged for the currency of another country. It is the [...]
In this article we will discuss about the arguments for and against fixed exchange rates. The advocates of a fixed or pegged or stable exchange rates advance arguments to justify this system or this type of exchange rate policy. At the same time, many arguments are advanced to criticize such a policy. Arguments for Fixed Exchange Rates: The main arguments [...]