Unit 4 · The global economy · Topic 4.5

IB Economics — Exchange rates

Currency demand/supply, appreciation/depreciation, and macro impacts.

What you'll learn in Topic 4.5

4.5.1 Floating exchange rates
4.5.2 Fixed and managed exchange rates
4.5.3 Consequences of exchange rate changes

Suggested study order: Read the notes for each sub-topic below → test yourself with flashcards → attempt practice questions → review exam technique.

Study resources — 4.5 Exchange rates

4.5.1

Floating exchange rates

Notes

4.5.2

Fixed and managed exchange rates

Notes

4.5.3

Consequences of exchange rate changes

Notes

Ready to study Exchange rates?

Get AI-powered practice questions, personalised feedback, and a study planner tailored to your IB Economics exam date.

Start studying free

Topic 4.5 Exchange rates forms a core part of Unit 4: The global economy in IB Economics. Mastering these concepts will strengthen your understanding of connected topics across the syllabus and prepare you for exam questions that require analysis, evaluation, and real-world application.

Frequently asked questions

What does Topic 4.5 Exchange rates cover in IB Business Management?

Topic 4.5 covers exchange rates as part of the IB BM syllabus. Students learn key business concepts, tools, and frameworks that are assessed in Paper 1 (case study) and Paper 2 (structured questions).

How should I revise Exchange rates for IB Business Management exams?

Start with the micro-topic notes to build understanding, then use flashcards for key terms and formulas. Practise applying concepts to case study scenarios and review how marks are allocated in IB mark schemes.

All Economics topics

Exam technique

Ready to practice?

Get AI-graded practice questions, mock exams, flashcards, and a personalised study plan — all aligned to your IB syllabus.

Start Studying Free

No credit card required · Cancel anytime