what determines the value of a currency
The value of currency is determined by its selling and purchase price as a commodity. This is affected by the amount of currency that is bought.When a currency is very popular and many people buy it, then its value increases. However, when a currency is not purchased often, then its value decreases.hether or not a country is at war also affects the value of the currency trade. Not only does the war itself raise heightened economic concerns, but currency is either strengthened or weakened by the purpose of the war, the country's role and allies in the conflict.