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8 Operational Definition of Terms (use your own words, otherwise, affix citations)
A. Remittance A remittance is a transfer of money by a foreign worker to an individual in
his or her home country. Money sent home by migrants competes with international
aid as one of the largest financial inflows to developing countries. Workers' remittances
are a significant part of international capital flows, especially with regard to labourexporting countries.
B. Exchange Rate - The price of a nations currency in terms of another currency. An
exchange rate thus has two components, the domestic currency and a foreign currency,
and can be quoted either directly or indirectly. In a direct quotation, the price of a unit of
foreign currency is expressed in terms of the domestic currency. In an indirect quotation,
the price of a unit of domestic currency is expressed in terms of the foreign currency. An
exchange rate that does not have the domestic currency as one of the two currency
C.
D.
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components is known as a cross currency, or cross rate.

Decline Become smaller, fewer or less. ; Decrease.
Impact - Impact means, the effects that will happen if you cause something.
Commodity - a commodity is a marketable item produced to satisfy wants or needs.
Import - bring (goods or services) into a country from abroad for sale.
Export- sends (goods or services) to another country for sale.