Question: 1. Within the current international monetary system, how is the values of each nation's (or region's) currency is determined. 2. There is no one way

1. Within the current international monetary system, how is the values of each nation's (or region's) currency is determined.

2. There is no one way for every currency (such as the U.S. Dollar, the Euro, the Chinese Yuan, the British Pound, etc.), provide several methods.

3. Some currencies are called free-floating, meaning the value is determined purely by supply and demand for that currency. how can nations try to manipulate a currency's value.

4. How changes in a currency's value impact the exports and imports of a country's business firms, and how it might affect the foreign direct investment decisions of a country's business firms.

5. Examples of U.S. firms that have been impacted either advantageously or adversely by the value of the U.S. dollar either in terms of export/import and/or foreign direct investment.

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The values of each nations currency within the current international monetary system are determined through various factors and mechanisms Some of the key factors include Supply and demand The basic p... View full answer

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