may affect firms which be persuaded to move to more prosperous areas. Р11.0 Explain the influence of floating exchange rate and fixed exchange rate on economic individualРAs for the individual, floating exchange rate change will influence individual, like raise the floating exchange rate that mean is native currency devalue, so it will influence people take more money in the foreign countries like travel or study in foreign countries. РSecond, floating exchange rate is difficult for long term trade and contracts like people speculation on foreign exchange is difficult for long term trade because people have no idea about tomorrow the exchange will be increase or decrease. РThird is fixed exchange rate can avoid inflation, so people can avoid currency devaluation by the fixed exchange rate.
全文预览
