Search results for: “fixed exchange rate”
-
Fixed Exchange Rates
A condition in which the official rates of exchange for most currencies, particularly those of major trading nations, are in an established ratio to one another; generally, this is the result of each currency having an established rate to gold from which a series of bilateral exchange ratios can be …
-
Exchange Rate
Exchange Rate in International Trade Meaning of Exchange Rate, according to the Dictionary of International Trade (Global Negotiator): The price of one currency expressed in terms of another, i.e., the number of units of one currency that may be exchanged for one unit of another currency. […]
-
Forward Exchange Contract
An agreement to exchange, at a specified future date, a fixed number of units of one currency for a fixed number of units of another currency. Such contracts are often procured by merchants when they must settle future accounts in a foreign currency and wish to protect against possible losses […]
-
Forward Exchange Contract
An agreement to exchange, at a specified future date, a fixed number of units of one currency for a fixed number of units of another currency. Such contracts are often procured by merchants when they must settle future accounts in a foreign currency and wish to protect against possible losses […]
-
Green Rate
A special rate of exchange used in converting agricultural prices fixed in units of account into national currencies, within the framework of the Common Agricultural Policy (read this and related legal terms for further deta…
-
Exchange
Exchange Exchange Definition Exchange, in commerce, generally, may be defined as a central office or place of business, such as a stock exchange or labor exchange. Specifically, the term is used to mean a business association, generally incorporated, the members of which meet at stated periods, usually at fixed hours daily, to trade in securities…
-
Convention on International Bills of Exchange and International Promissory Notes 9
Convention on International Bills of Exchange and International Promissory Notes Article 71 A party who pays an instrument and is thereby discharged in whole or in part of his liability on the instrument may recover from the parties liable to him: (a) The entire sum which he has paid; (b) Interest on that sum…
-
Convention on International Bills of Exchange and International Promissory Notes 7
Convention on International Bills of Exchange and International Promissory Notes Article 53 (1) If a bill which must be presented for acceptance is not so presented, the drawer, the endorsers and their guarantors are not liable on the bill. (2) Failure to present a bill for acceptance does not discharge the guarantor of the…
-
Convention on International Bills of Exchange and International Promissory Notes 6
Convention on International Bills of Exchange and International Promissory Notes Article 45 (1) Unless otherwise agreed, a person who transfers an instrument, by endorsement and delivery or by mere delivery, represents to the holder to whom he transfers the instrument that: (a) The instrument does not bear any forged or unauthorized signature; (b) The…
-
Convention on International Bills of Exchange and International Promissory Notes 5
Convention on International Bills of Exchange and International Promissory Notes Article 31 (1) The transfer of an instrument by a protected holder vests in any subsequent holder the rights to and on the instrument which the protected holder had. (2) Those rights are not vested in a subsequent holder if: (a) He participated in…
-
Smithsonian Agreement
A largely unsuccessful effort to revive the fixed exchange rate system established by the bretton woods agreement (read this and related legal terms for further details)….
-
Crawling Peg
A middle ground between fixed and freely floating exchange rates. Unlike the free- floating system in which exchange rates are determined by market forces alone, and a system of fixed exchange rates (i.e., the defunct Bretton Woods system), the crawling peg scheme envisions that various trading curr…
-
Gold Standard
Summary of Gold Standard A system under which a nation's currency is freely convertible into gold. The quantity of gold per unit of currency is fixed by law. Most major trading nations, however, abandoned the gold standard because of the constraints it imposes upon liquidity, although […]
-
Gold Standard
Summary of Gold Standard A system under which a nation's currency is freely convertible into gold. The quantity of gold per unit of currency is fixed by law. Most major trading nations, however, abandoned the gold standard because of the constraints it imposes upon liquidity, although […]
-
Economic Integration
Summary of Economic Integration The process of unifying two or more national economies through conscious coordination of trade, fiscal, and monetary activities. Economic integration is normally preceded by the reduction or abolition of tariffs, quotas, and similar constraints upon trade […]