8 Selection and Calculation of Exchange Rates Under International Arrangements


Two separate problems of choice have arisen, or have become intensified, in an environment of fluctuating exchange rates, and have led, therefore, to new legal rules or to modifications in legal rules formerly applicable. One kind of problem is not the choice of a currency, because in the circumstances choice of the appropriate currency is settled, but determination of the appropriate exchange rate for the currency if translation of it into another currency is necessary. Problems of this kind, and the solutions of them, are discussed in this chapter.