9781118591826

1118591828

9781118591895

1118591895

9781118523896

111852389X

9781118591856 (ebk)

9781118591918 (ebk)

For dummies

International Finance For Dummies®; About the Author; Contents at a Glance; Table of Contents; Introduction; About This Book; Conventions Used in This Book; What You Are Not to Read; Foolish Assumptions; How This Book Is Organized; Icons Used in This Book; Where to Go from Here; Part I: Getting Started with International Finance; Chapter 1: Money Makes the World Go 'Round; Checking Out Definitions and Calculations; Finding Out What Determines (Or Changes) Exchange Rates; Getting to the Long and Short of It; Answering Questions about the System: Fixed, Flexible, or Pegged?

Gaining Insight into the Do's and Don'ts of International FinanceLooking at Finance Globally; Chapter 2: Mastering the Basics of International Finance; Making the Exchange: Exchange Rates; Taking on Different Exchange Rates; Tackling Terminology: Changes in Exchange Rates; Grasping Exchange Rate Conversions; Calculating Cross Rates; Figuring the Bid-Ask Spread; Chapter 3: Buy, Sell, Risk! Users of Foreign Exchange Markets; Identifying Major Actors in Foreign Exchange Markets; Watching Out for Risk; Speculation: Taking a Risk to Gain Profit.

Chapter 4: It's All about Change: Changes in the Exchange RateConsidering a Visual Approach to Changes in Exchange Rates; Looking at How Macroeconomic Variables Affect Exchange Rates; Uncovering Hidden Information in Graphs: Exchange Rate Regimes; Part II: Determining the Exchange Rate; Chapter 5: It's a Matter of Demand and Supply; Apples per Orange, Euros per Dollar: It's All the Same; Determining Exchange Rates through Supply and Demand; Predicting Changes in the Euro-Dollar Exchange Rate; Keeping It Straight: Using a Different Exchange Rate.

Chapter 6: Setting Up the Monetary Approach to Balance of PaymentsDiscovering the MBOP's Approach to Exchange Rates; Explaining the Money Market; Taking On the Foreign Exchange Market; Combining the Money Market with the Foreign Exchange Market; Keeping It Straight: What Happens When You Use a Different Exchange Rate?; Chapter 7: Predicting Changes in Exchange Rates Based on the MBOP; Applying Real Shocks to MBOP; Applying Nominal Shocks to MBOP; Keeping It Straight: What Happens When We Use a Different Exchange Rate?; Comparing Predictions of MBOP and the Demand-Supply Model.

Part III: Understanding Long-Term Concepts and Short-Term RisksChapter 8: Your Best Guess: The Interest Rate Parity (IRP); Tackling the Basics of Interest Rate Parity (IRP); Working with the IRP; Speculation Using the Covered Interest Arbitrage; Determining Whether the IRP Holds; Chapter 9: Taking a Bite Out of the Purchasing Power Parity (PPP); Getting a Primer on the Purchasing Power Parity (PPP); Working with the PPP; Deciding Whether the PPP Holds; Chapter 10: Minimizing the FX Risk: FX Derivatives; Checking Out FX Derivatives; Moving to Forward Contracts; Looking at Futures Contracts.