Stephen Sapp
Assistant Professor of Finance
Richard Ivey School of Business
University of Western Ontario
1151 Richmond Street
London, ON N6A 3K7
Canada
Phone: (519) 661-3006
email : ssapp@ivey.uwo.ca
Below are links to some optional readings on Exchange Rates (if you find any others, please let me know and I will update this page with any suggestions).
Some theory and discussion about exchange rate determination:
Developments in the Foreign Exchange Market
International Parity Conditions and
Exchange Rate Determination (KGSM)
Some Stylized Macroeconomic Facts
Related to Exchange Rates (KGSM)
Do forecasting techniques need to be redesigned?
Irrational pessismism: none of the explanations for the euro's weakness stand up
Working
for their money (Euromoney, May 1994)
Foreign
Exchange: The Times They Have Changed (Corporate Finance, September 1995)
Japan's Tough Choice (Economist, January 14, 2002)
The Specter of Deflation (Washington Post, November 20, 2001)
Although there are lots of interesting articles talking about the Canadian dollar, here are a couple of pieces that you may find interesting:
Big Chill: Canada's economy (Economist, November 24, 2001)
How to fix the loonie (National Post, January 11, 2002)
No Sign of Argentine Flu (Globe and Mail January 13, 2002)
Sinking Dollar May Fall Further (Globe and Mail, January 18, 2002)
The current level of the Big Mac Index
Foreign exchange risk management:
Five Reasons Why
Companies Should Manage Risk
The Management of Foreign Exchange Risk an example of how it is accounted for: notes to Dow's financial statements
Deconstructing Myths about Foreign Exchange Options
The lost art of hedging (Institutional Investor, December 2000)
Business won't hedge the euro away (Business Week Dec 4, 2000)
Exchange rate hedging: financial vs operational strategies
Pricing in Foreign Currency versus the US Dollar
Foreign Exchange Risk Management
Financial Crises in the past couple of years:
The World of Financial Crises (NY Times)