CAPE Economics Unit 2 · 2011 · Paper 2 · Question 6(a)(i)
Explain what is meant by 'exchange rate'.
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- 6(a)(ii)Give three examples of actual exchange rates that currently exist between Caribbean currencies and the US dollar.[3 marks]
- 6(a)(iii)Distinguish between 'fixed exchange rates' and 'floating exchange rates'.[4 marks]
- 6(a)(iv)State two advantages of a fixed exchange rate and two advantages of a floating exchange rate.[4 marks]
- 6(b)Discuss two advantages and two disadvantages of Free Trade or Economic Partnership Agreements signed by CARICOM countries with other countries for the region.[12 marks]
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