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Exchange rates - introduction

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Exchange rate systems

key_terms Exchange rate An exchange rate is the price of one currency expressed in terms of another, e.g. 1 U.S. dollar = 30.13 Thai baht.

An exchange rate system is the way in which the exchange rate is determined.

On the following pages, we consider the following topics in detail:

  • Floating exchange rates
  • Changes in the exchange rate
  • Effects of exchange rate changes
  • Fixed exchange rates
  • Managed exchange rates
Here´s an informative introduction to exchange rates and what they are: If the video does not work try copying the URL into a different browser - Or go to Youtube directly and search for How Exchange Rates Work by SimplyExplain