fluctuating exchange rate
- noun
- Specialized
:
tipo de cambio fluctuante
- Travelers need to be aware of the fluctuating exchange rates that can affect their budget while abroad.
Examples
-
For a large, diversified economy like that of the United States, fluctuating exchange rates are the economic equivalent of a minor toothache.
Academic text (2007) -
China also has an undeveloped financial system, with many non-performing loans and limited capital account convertibility, which could complicate a transition to fluctuating exchange rates.
Academic text (2003) -
Businesses often struggle to manage the financial impact of fluctuating exchange rates on their international transactions.
-
Investors should consider the risks associated with fluctuating exchange rates when investing in foreign markets.
Synonyms
1
5.2
A system where a currency's value changes because of buying and selling in the market, not set by the government
Antonyms
- Specialized
1
5.4
A system where a government keeps a country's money at a set value, often linked to another currency or gold
How Flexible
- Specialized
- Specialized
- Specialized
1
5.4
Surface Forms
Morphology
fluctuating + exchange + rate
The phrase is fully compositional: 'fluctuating' (changing irregularly) modifies 'exchange rate' (the price for exchanging currencies), so a learner who knows the constituent words can infer it denotes a currency rate that varies over time. This structure and meaning are cross-linguistically common in economic terminology, so it should be immediately understandable to a B1 learner familiar with the parts.
Etymology
The term fluctuating exchange rate creates a picture of the exchange rate as a price that rises and falls like waves when people buy and sell other countries' money. So, it means the rate is not fixed by the government but 'changes' with that buying and selling.