State of the U.S. Macroeconomy Essay Example | Topics and Well Written Essays - 250 words

State of the U.S. Macroeconomy - Essay Example Over the last twelve months, the economic recovery that began in the year 2009 is observed to have strengthened. Although the growth has not been fast enough to have a significant impact on the job market, the GDP of the country has shown drastic improvement. For instance, February 2015, the US dollar is seen to gain strength over the Canadian dollar. Furthermore, the US dollar has traded favorably with UK pound. Between 2014 and 2015, the US dollar has recorded tremendous improvement over the British pound moving from 0.58 to 0.66 British pounds. This figure translates that, for every 1 US dollar is equivalent to 0.66 British pounds. A foreign exchange rate determines how much a unit of currency will be exchanged for another currency (Thomson, 2015). I know most of you could be wondering what determined these foreign exchange rates. Foreign exchange rates are determined by various factors such as the current market forces of demand and supply. In other words, how much the demand for a currency is in relation to its supply will determine the value of the currency in relation to other currencies. For instance, if the demand of the US dollar increases, the value of its currency in relation to other currencies will rise (Thomson, 2015). Thank you for listening to me and for your cooperation. I will be pleased to take any