The Microstructure Approach to Exchange Rates

Historically, the fields of exchange-rate economics and microstructure finance have progressed independently of each other. Recent interaction, however, has given rise to a microstructure approach to exchange rates. This book focuses on the economics of financial information and how microstructure tools help to clarify the types of information most relevant to exchange rates.

The microstructure approach views exchange rates from the perspective of the trading room, the place where exchange rates are actually determined. Emphasizing information economics over institutional issues, the approach departs from three unrealistic assumptions common to previous approaches: that all information relevant to exchange rates is publicly available, that all market participants are alike in their goals or in how they view information, and that how trading is organized is inconsequential for exchange rates. The book shows how exchange-rate behavior previously thought to be particularly puzzling can be explained using the microstructure approach. It contains a combination of theoretical and empirical work.

While major retailers like Amazon may carry The Microstructure Approach to Exchange Rates, we specialize in bulk book sales and offer personalized service from our friendly, book-smart team based in Portland, Oregon. We’re proud to offer a Price Match Guarantee and a streamlined ordering experience from people who truly care.

We’re trusted by over 75,000 customers, many of whom return time and again. Want proof? Just check out our 25,000+ customer reviews—real feedback from people who love how we do business.

Prefer to talk to a real person? Our Book Specialists are here Monday–Friday, 8 a.m. to 5 p.m. PST and ready to help with your bulk order of The Microstructure Approach to Exchange Rates.