Case ID: 9B00N025
Solution ID: 19641

Foreign Exchange Market and the Canadian Dollar Some History and Background

Case Solution

International finance plays a large, although often hidden, role in our lives. As a result, an understanding of this market is essential to understanding the new global economy. In this note, students are provided with a thorough introduction to the foreign exchange market from a Canadian perspective. The history of the Canadian dollar, from confederation until the present is chronicled. Many aspects of the current flexible exchange rate system and the terminology used in the different exchange markets - the spot, forward, future, options and swap markets - are introduced.


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