EXCHANGE RATE, FOREIGN EXCHANGE MARKET AND ACTUAL EXCHANGE RATE ARRANGEMENTS
DOI:
https://doi.org/10.46793/GlasnikDN16.1.129RKeywords:
exchange rate regime, FOREX market, monetary policy, de jure and de facto classification, fixed and floating exchange rates, international trade.Abstract
With the passage of time, there was a change in the adopted monetary systems, as well as the gradual development of the international foreign exchange market (FOREX). FOREX is the most accessible and liquid global currency market based on current and investment transactions. FOREX began to develop more significantly with the abolition of fixed exchange rates, the emergence of fluctuating exchange rates and the growth of currency convertibility. Hence, FOREX is essential for international transactions of goods, services and financial assets. In addition, today the international foreign exchange market is considered the largest decentralized market in the world with an estimated daily turnover of 6.6 trillion US dollars (USD) in 2022. This paper is dedicated to the study of the spot and forward foreign exchange market, as well as existing exchange rate arrangements based on their de facto classification and their possible impact on economic performance. However, there are also points of view based on which it is claimed that neither the officially proclaimed exchange rate regime, nor the de facto exchange rate policy speak fully about the exchange rate policy of a country. Therefore, when studying the effects of the chosen exchange rate regime on economic performance...
References
Balaban, S., Milenković, I., Joksimović, M. (2023). The Euro exchange rate's resistance to the exogenous shock caused by COVID-19. Strategic Management, u štampi.
Babula, A., Otker-Robe, I. (2002). The Evolution of Exchange Rate Regimes Since 1990: Evidence from De facto Policies. Working Paper. IMF, Washington D.C.
Bayoumi, T. (1996). International Trade and Real Exchange Rates. In: Exchange Rate Movements and Their Impact on Trade and Investment in the APEC Region. International Monetary Fund, Washington D.C. https://doi.org/10.5089/9781557756008.084
Bénassy, J. P. (1976). Théorie du déséquilibre et fondements microéconomiques de la macroéconomie. Revue économique, 755-804.
Beker, E. (2006). Devizno kursni aranžmani – od ekstrema do “normale”. Panoeconomicus, vol. 53, no. 1, str. 31-49.
Chaboud, A., Rime, D., Sushko, V. (2003). The foreign exchange market. BIS Working Papers No. 1094. April 2023. BIS, Basel.
Dašić, D. (2020). Preduzetnička država. Glasnik za društvene nauke, god. 12, br. 12, str. 15-40.
De Grauwe, P., Grimaldi, M. (2002). Exchange rate regimes and financial vulnerability. EIB Papers, Vol. 7, Issue 2. European Investment Bank, Luxembourg, str. 33-48.
Drabek, Z., Brada, J. C. (1998). Exchange Rate Regimes and the Stability of Trade Policy in Transition Economies. WTO Staff Working Paper ERAD-98-07. World Trade Organization, Geneva.
Forex Academy. (2023). How much is the forex market worth 2022? March 26, 2023. Dostupno na https://www.forex.academy/how-much-is-the-forex-market-worth-2022/
Genberg, H., Swoboda, A. K. (2005). Exchange Rate Regimes: Does What Countries Say Matter? IMF Staff Papers, Vol. 52, Special Issue. International Monetary Fund, Washington D.C.
ING Financial Markets. (2019). FX Derivatives. ING Financial Markets, Bruxelles. Dostupno na https://www.ingwb.com/binaries/content/assets/solutions-and-products/hedging-solutions/foreign-exchange/ing_financial_markets-product_description-fx_forward_be-en.pdf
Jeremić, Z. (2008). Praktikum za finansijska tržišta. Univerzitet Singidunum, Beograd.
Kovačević, R. (2002). Devizni kursevi – režimi i politika. Institut za spoljnu trgovinu, Beograd.
Nicita, A. (2013). Exchange Rates, International Trade and Trade Policies. Policy Issues in International Trade and Commodities Study Series No. 56. United Nations, New York and Geneva.
Madžar, L. (2023). Testing the Monetary Trilemma Theory on the example of Serbia. Ekonomika, Vol. 69, No. 4, pp. 55-67. DOI: 10.5937/ekonomika2304055M
Madžar, Lj. (2023). Change as a Form of Existence and Survival. Glasnik za društvene nauke, Vol. XV, No. 15, pp. 39-118.
Simić, M., Madžar, L., Balaban, S. (2024). The Reliability of the Monetary Trilemma Theory on the Example of Transition Countries. Teme, u štampi
Surgetrader. (2021). All About Forex Market Size and Liquidity. 20. jul 2021. godine. Dostupno na https://surgetrader.com/all-about-forex-market-size-and-liquidity/
Downloads
Published
Issue
Section
License
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
