International macroeconomic and finance

2. Global Forex Market Turnover, Transaction Shares and Definitions (a) Figure 1 presents the global forex market turnover. Describe its evolution in terms of absolute value (right scale) and relative to US GDP (left scale). (10 marks) 28/08/2019 ECM136 2019/20 Exam Paper - Questions 2/5 35 6,000 30 5,DOO 4,600 3.000 2.000 1 060 O 1998 2001 2004 2007 2010 2013 # % of current US GDP (left scale) " billions of current US dollars (right scale) Figure 1: Daily Global Foreign Exchange Market Turnover, Average for April. Source: BIS (website)