The international monetary environment -- The foreign exchange market -- International monetary arrangements -- The balance of payments -- International parity conditions -- Forward-looking instruments -- The eurocurrency market -- Exchange rates, interest rates, and interest parity -- Prices and exchange rates : purchasing power parity -- Risk and international capital flows -- Foreign exchange risk and forecasting -- Financial management of the multinational firm -- International portfolio investment -- Direct foreign investment and international lending -- Modeling the exchange rate and balance of payments -- Determinancts of the balance of trade -- Open economy macroeconomics : the IS-LM-BP approach -- Open economy macroeconomics : the monetary approach -- Extensions to the monetary approach of exchange rate determination.