飞渡外汇专业网DefinitionsandCategoryComparingtheforeign.PPT

Exchange Rates and the Foreign Exchange Market:An Asset Approach(I) Exchange Rate (P329) The price of one currency in terms of another. It is also an asset price, a form of wealth. Questions: Is it a ratio of purchasing power of two countries? The ratio of purchasing power is changing depending on the commodities. Otherwise there will be no more international trade. If the ratio of purchasing power is the same for any commodity, there will be no international trade to speak of. Direct Quotation American terms? An unit of F=an amount of home。 US$ 100 = RMB 827.70 JP￥ 100000 = RMB 7820.10