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Essay (General) # 90821 :: Economics: Exchange Rates
A definition of exchange rate from the perspective of the Canadian dollar.
Written in 2006; 675 words; 0 sources; $ 26.95
Paper Summary:
This paper discusses how an exchange rate, in terms of the Canadian economy, is the value of the Canadian dollar as compared to the currencies of other countries (Bank of Canada website). The exchange rate has many functions, including the determination of the cost of imported goods and the money Canada receives for exported goods. The paper further discusses how in real terms, when the value of the Canadian dollar drops, imported goods become quite expensive. In effect, the volume of Canadian imports is reduced. However, when this occurs other countries pay less for Canadian products and export sales in the nation are increased (BOC).

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