1. Introduction, 2. Exchange Rate, 3. Determinants of Exchange Rate, 4. Interest Rate, 5. Inflation Rate, 6. Growth Rate, 7. CAD as a Percent of GDP, 8. Crude Oil Import and Consumption, 9. Per Capita Income, 10. Foreign Direct Investments (FDI), 11. Political Stability and Economic Performance, 12. Calculation of Long-Term and Short-Term Exchange Rate by Mathematical Model, 13. Calculation of Short-Term Exchange Rate by Regression, 14. Forecasting Future Exchange Rate for the Next Five Years by Mathematical Model, 15. Forecasting of the Exchange Rate for the Next Five Years by Regression, 16. Conclusions and Summary
Through this book:
• the data related to India and the US for the last 33 years has been analysed and ascertained and the impact of seven important variables on the exchange rate has been elaborated upon
• new idea, approach and analytical method for evaluating and studying the impact of the several variables on exchange rate has been elaborated
• a mathematical and statistical model exhibiting the relationship and correlation with the exchange rate has been explained
• both the above models are tested on the past data and it gives over 80% dependencies
• forecasting of exchange rates based on tested models, mathematically and statistically, has been done
• with non-quantifying variables, reasonable estimations can be made
• help has been imparted on formulation of hedging strategy for exporters and importers
• planning for long term/ short term foreign loan/borrowing strategy is explained