Relative inflation rates

Expectations

Relative interest rates

All of the above

Relative income levels

Increase; reduce

Reduce; reduce

Increase; increase

Reduce; increase

Weak, since the countrys quotes interest rate would be low relative to the inflation rate

weak, since the countrys quoted interest rate would be high relative to the inflation rate

strong, since the country's quotes interest rate would be low relative to the inflation rate

strong, since the countrys quoted interest rate would be high relative to the inflation rate

income growth

exchange rate movements

Inflation

none of the above

government controls

the euro was involved in some currency transactions, but not others

the euro strengthened against some currencies and weakened against others

the euro was strong in some periods and weak in other periods over the last month

the volume of trading was very high in some periods and low in other periods

an increased demand for British pounds

an increase in the supply of British pounds for sale

a decrease in the supply of British pounds for sale

a decrease in the demand for British pounds

sold on an exchange; offered by commercial banks

offered by commercial banks; offered by commercial banks

offered by commercial banks; sold on an exchange

sold on an exchange; sold on an exchange