Exchange Rates Flashcards
1
Q
Define exhange rate:
A
The exchange rate is the value of one curency expressed in terms of another at a given time.
2
Q
What is a bilateral exhange rate? And given an example 🙂
A
The value of one currency measured in terms of ONE other currency
Eg. the value of AUD expressed in USD
3
Q
What is trade weighted index (TWI)?
A
A measure of the $A against a basket of currencies we trade with
