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key concepts within international finance

When learning about international finance, it is important to understand the key concepts involved. With our professional writers by your side, you can get a better understanding of these concepts and improve your grades in the process. Some of the key concepts that you will need to understand include:

• Mundell–Fleming model

  The Mundell–Fleming model, also known as the international Monetary Dynamics model, is a macroeconomic model that is used to explain international capital mobility. The model was developed by Robert Mundell and Marcus Fleming in the 1960.

• International Fisher effect

  The International Fisher effect is a theory that states that interest rates in different countries move in opposite directions. This theory is based on the work of American economist Irving Fisher.

• Optimum currency area

  optimum currency area is an economic region in which it would be beneficial to have a single currency. The concept was first developed by Robert Mundell in the 1960s.

• Purchasing power parity

  Purchasing power parity (PPP) is a theory that states that the exchange rate between two currencies is in equilibrium when the prices of identical goods are equal in both countries.

• Interest rate parity

  Interest rate parity is a theory that states that the interest rates in two countries will be equal when the currencies are in equilibrium. This theory is based on the law of one price.

Each of these concepts is important in international finance, and our writers can help you understand how they work. We provide quality international finance assignment help so that you can get the grades that you deserve.