Explore the theory of uncovered interest rate parity (UIP), understand its formula, and discover how it links interest rates to currency exchange rate expectations.

Discover how the nominal effective exchange rate (NEER) measures currency competitiveness globally, and learn how the NEER impacts forex markets and trade policy analysis.

After Japan’s bubble economy burst in the late 1980s and interest rates were subsequently slashed, carry trades and overseas investment boomed. As the Bank of Japan starts to raise Japan’s ...

The U.S. current account deficit has been growing for several years, as the country has been importing increasingly more than it has been exporting. In 1992, the current account deficit was 0.8% of ...

As the world economy faces unprecedented shifts, the dynamics of global trade, exchange rates and capital flows are evolving in ways that challenge established economic theory and policy frameworks.