BU288 Lecture Notes - Lecture 10: Foreign Exchange Market
Document Summary
Imf: helping countries navigate through financial crisis by lending capital to governments and requiring them to adopt certain macroeconomic policies. Imf imposes inappropriate condition on developing nations that are the recipients of its loans. Explain the implications of the global monetary system for currency management and business strategy: The current system is a mixed system in which a combination of government intervention and speculative activity can drive the foreign exchange market: having production spread to difference locations around the world = spread risk.
