For firms engaged in international trade, the strength of the currency (i.e. the exchange rate) is an important consideration (see, for example, Chapter 16 ). As the value of one currency changes...

For firms engaged in international trade, the strength of the currency (i.e. the exchange rate) is an important consideration (see, for example, Chapter 16 ). As the value of one currency changes against other currencies, this usually alters the price of imported/exported products and this can make them more/less attractive to potential customers.