As the price of the domestic currency in terms of the foreign currency. If, for example,
we look at the United States and the United Kingdom, and think of the dollar as the domestic
currency and the pound as the foreign currency, we can express the nominal exchange
rate as the price of a dollar in terms of pounds. In September 2011, the exchange
rate defined this way was 0.61. In other words, one dollar was worth 0.61 pounds.