Essay Assignment

Length: 2500 words (references are not included)

References: APA referencing style

From 2010 until early 2013, the Australian dollar appreciated against many major currencies and at times exceeded parity with the US dollar. The effect on Australian businesses was quite disparate with significant gainers and losers.

You are required to:

(a) Discuss the arguments for and against floating exchange rates. Concepts & theories (Cover 40% of essay)

(b) The current Australian dollar exchange rate regime is a managed float exchange rate system with minimum government or central bank intervention. Explain with assistance of examples, three broad methods (Free float, Managed float, fixed peg or Adjustable peg) that a central bank or a government may use to influence the value of a currency. (Cover 60% of essay)

Note: Part (b) must use some graphs and diagrams in your explanations.

Additional Information:

1. An abstract or synopsis of up to 50 words is required

2. The length of the essay should not exceed 2,500 word and should be in 11 point type in Arial font.. Students should ensure that their work is proof read before submission. Failure to do so will result in a loss of marks Appendices should only be used where appropriate and not to circumvent the word limit.

3. The task (essay) must fully comply with the standards set out in the University's General Guide for the Presentation of Academic Work. The APA reference style must be used.

4. Please note that you will not gain a scholarly understanding of the issues in this assignment if you do not read quality materials. It is not appropriate to use questionable internet sources- you must use credible sources of information.