Wednesday, July 04, 2007

Unit 3: The exchange rate of the £

The £ hits a 26 year high

http://business.guardian.co.uk/story/0,,2116977,00.html

a) Why has the value of the £ risen?
b) Draw a diagram to show how this rise has occured
c) What effect should this rise in the £ have on the current account of the BOP?

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