Internal Exchange Rates Definition
In our globalized 21st century, large price disparities still survive within the same economy: domestic exchange rates. In this article we analyze what they are and how they affect us. In recent decades, the process of economic globalization that the world has experienced, especially in terms of the internationalization of production processes and the liberalization of the movement of people, capital and goods, has intensified the interdependence of national economies. However, there are still large differences in the cost of the same products from one country to another that cannot be explained exclusively by the different value of their currencies: these are internal exchange rates.