News contribute to exchange rate volatility

Reference no: EM13539583

A major complaint regarding flexible exchange rates is that the exchange rates are too volatile when they float. Explain how the balance of trade, currency substitution, and news contribute to exchange rate volatility.

Reference no: EM13539583

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News contribute to exchange rate volatility : A major complaint regarding flexible exchange rates is that the exchange rates are too volatile when they float. Explain how the balance of trade, currency substitution, and news contribute to exchange rate volatility.

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