Cross rate between francs and pounds
Problem: Suppose the exchange rate between U.S, dollars and the Swiss franc was SFr1.6=$1, and the exchange rate between U.S dollars and British pound was L1=$1.50. What was the cross rate between francs and pounds?
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As the U.S. dollar appreciates in value relative to the Japanese Yen, what happens to the price of U.S. goods in Japan? What happens to the price of Japanese goods in the U.S.?
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Suppose the exchange rate between U.S, dollars and the Swiss franc was SFr1.6=$1, and the exchange rate between U.S dollars and British pound was L1=$1.50. What was the cross rate between francs and pounds?
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