Question
Exchange rates on the web Numerous websites give up-to-the-minute quotes of foreign exchange rates. These exercises will familiarize you with some of them. A. Go
"Exchange rates on the web Numerous websites give up-to-the-minute quotes of foreign exchange rates. These exercises will familiarize you with some of them. A. Go to the website xe.com. What is the current nominal exchange rate of the dollar relative to the euro? Quote the rate both in euros per dollar and dollars per euro. b. Visit the website oanda.com and find the currency tool that provides historical exchange rates (http://www.oanda.com/currency/historical-rates/). How has the exchange rate of the dollar moved relative to the euro over the past year? c. The Bank for International Settlements maintains a database of real effective exchange rate indexes (http://www.bis.org/statistics/eer/index.htm). Download the database and look up the real effective exchange rate of the US dollar. Has the dollar appreciated or depreciated in real terms over the past year?"
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