The money market approach to exchange rate determination is part of the Asset Market Models and is largely attributed to economists after 1973 when the exchange rate became flexible (market determined). This article, first, introduces, the setting of the model embedded in the money market equilibrium equation with the use of the spot exchange rate as an independent variable in the money demand equations for the two countries. Then, the spot rate is determined from these money market functions. Consequently, the exchange rate is determined through the classical equation of exchange. These models deviate a little from the models and approaches used for the monetary approach to the balance of payment, the overshooting model, and from the associated market equilibria. The effects of monetary policy (federal funds rate, monetary base, and money supply), of wealth (income), and of the price level (real money supply) under the money market approach are examined, here, theoretically and empirically. The current econometric results show that the exchange rate is determined by the monetary policy in the two countries (domestic and foreign money supply, income, interest rate, and velocity of money). The new monetary policy has questionable and ethical implications for our economy and society.

Social norms tend to discourage women from negotiating higher pay and cause gender pay gaps in the long run. Drawing on social norm theory and role congruency theory, we expected that explicitly stating rules to determine pay raises would help remove social barriers that may cause women to steer away from the bargaining table. Using an experimental approach, we examined how explicit pay raise rules affect men’s and women’s initiations of salary negotiation differently. Our results show that when pay raise rules are explicitly stated, women are less reluctant to ask for a pay raise. In contrast, men’s decisions to ask are not impacted by this factor. This explicit rule effect is particularly salient for women whose task performance is above average. Our study confirms that social norms for men and women play a role in asking for pay raises, and shows that explicitly stating pay raise rules helps to remove barriers that prevent women from asking by creating an environment in which internalized gender biases due to social norms are mitigated.

This investigation sheds light on tax and economic competition implications of community VAT accounting. The regulation of a transitional regime characterized by the destination principle results in the so-called "carousel fraud" in the European Union which causes damage to public funds, distortion of competition between companies in the same sector and deterioration of international trade. European tax harmonization mechanisms are proposed to improve tax justice, fair economic competition in the region and optimal international trade conditions.