exchange-rate

Vocabulary Word

Definition

'Exchange rate' is a term used to describe the rate at which one country's money, called its currency, can be traded for the money of another country.

Examples in Different Contexts

In economics, the 'exchange rate' between two currencies reflects their relative economic strength and stability. An economist might observe, 'The exchange rate is influenced by factors like inflation, interest rates, and economic policies.'

Practice Scenarios

Economics

Scenario:

The government's new policy seems to have a significant impact on the market. We should explore how it will affect cross-border trade.

Response:

Indeed, the instability caused in the exchange rate due to this policy will significantly impact foreign trade.

Tech

Scenario:

We need to offer comprehensive financial data to our users. How about integrating cryptocurrencies with our existing currencies?

Response:

'Including Bitcoin and other major cryptocurrencies with the live exchange rate would definitely enhance our app's features.