Iraqi Dinar Discussion Board

[Aerospace]

Good Read. Exchnage rate should be directly linked to GDP growth.
http://www.mees.com/postedarticles/oped/a47n36d02.htm
The CBI role can not be superior to the macroeconomic and fiscal policies and government investment in infrastructure as long as oil revenues are the only source of foreign currency earnings. Therefore, the FeR (foreign exchange rate) should be directly linked to GDP growth and inflation criteria; otherwise it is no more than a flawed practice. Such a conclusion may extend to consider these criteria in determining interest rates.