1. Comovements of exchange rates. Explain why the value of the British pound against the dollar will not always move in tandem with the value of the euro against the dollar.
2. Factors affecting exchange rates. In the 1990s, Russia was attempting to import more goods but had little to offer other countries in terms of potential exports. In addition, Russia's inflation rate was high. Explain the type of pressure that these factors placed on the Russian currency.