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Authors: Stephen Sapp
Published by: Ivey Publishing
Originally published in: 2000
Version: 2010-01-12
Length: 17 pages
Data source: Published sources

Abstract

International finance plays a large, although often hidden, role in our lives. As a result, an understanding of this market is essential to understanding the new global economy. In this note, students are provided with a thorough introduction to the foreign exchange market from a Canadian perspective. The history of the Canadian dollar, from confederation until the present is chronicled. Many aspects of the current flexible exchange rate system and the terminology used in the different exchange markets - the spot, forward, future, options and swap markets - are introduced.

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Abstract

International finance plays a large, although often hidden, role in our lives. As a result, an understanding of this market is essential to understanding the new global economy. In this note, students are provided with a thorough introduction to the foreign exchange market from a Canadian perspective. The history of the Canadian dollar, from confederation until the present is chronicled. Many aspects of the current flexible exchange rate system and the terminology used in the different exchange markets - the spot, forward, future, options and swap markets - are introduced.

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