Exchange Rates: An Asynchronous Classroom Experiment

Pokémon GO: Applications for the Economics Classroom (Al-Bahrani, Mahon, Mateer & Murphy)
December 7, 2018
Exploring Microeconomics: A Collaborative Learning Project (Monaco)
December 7, 2018

This paper describes an asynchronous classroom exchange rate experiment. Students trade foreign currencies at the end of each class with the balances carrying over to the next class. They are introduced to foreign currency markets and how real world political and economic news influences exchange rates. Students struggle with the challenge of extrapolating from current knowledge of the world to make predictions about the future. The time and resources required are modest. No special software is required. Results from running the experiment in economic principles, international economics, and intermediate macroeconomics are discussed.

Paul Johnson