Monetary Economics

  1. Provide some facts about the FIRST currency in your chosen quote. (That is, if your quote is AUD/USD, provide some facts on the AUD. If your quote is USD/AUD, provide some facts on the USD. (about 250 words). [20 marks]
    (Notes: For example, you might discuss whether the currency is fixed or floating, when this happened, how much trade is there in the currency, how this compares to others currencies and so on.)

2A. Using daily close data from the last 5 years, plot the exchange rate on a line graph, and indicate TWO specific points on the line where the trend changes. Indicate both these points with arrows on your line graph.