Unit 1 International payments and Exchange.ppt

Unit 1 International payments and Exchange Chapter 1Keeping Up with a Changing World Chapter 2 The Market for Foreign Exchange Chapter 3 Exchange—Rate System, Past to present Chapter 1Keeping Up with a Changing World Trade Flows, Capital Flows, and the Balance of Payments Fundamental Issues 1. How important is the global market for goods and services? 2. How important are the international monetary and financial markets? 3.What is a country’s balance of payments, and what does this measure? 4. What does it mean for a country to be a net debtor or net creditor? 5. What is the relat