<P> In the event of a government printing currency to discharge a portion of a significant amount of debt, the supply of money is increased, with an ultimate reduction in its value, aggravated by inflation . Furthermore, should a government be unable to service its deficit by way of selling domestic bonds, thereby increasing the supply of money, it must increase the volume of saleable securities to foreigners, which in turn creates a decrease in their value . </P> <P> A significant debt can prove a concern for foreign investors, should they believe there is a risk of the country defaulting on its obligations . They will be reluctant to purchase securities subject to that particular currency, if there is a perceived, significant risk of default . It is for this reason that the debt rating of a country; for example, as determined by Moody's or Standard & Poor's is a crucial indicator of its exchange rate . </P> <P> Currency values and exchange rates play a crucial part in the rate of return on investments . Value for an investor, is the exchange rate of the currency which, contains the bulk of a portfolio, determining its real return . A declining value in the exchange rate has the effect of decreasing the purchasing power of income and capital gains, derived from any returns . In addition, other income factors such as interest rates, inflation and even capital gains from domestic securities, are influenced by the influential and complex factors, of the exchange rate . </P> <P> The case of Luxmoore - May and Another v. Messenger May Baverstock (1990) 1 W.L.R. 1009 shows us the legal interpretation of market value: "The measure of damage in this case is, I conclude, the difference between what the foxhounds in fact realised consequent on the defendants' breach of contract and what was their true open market value at that time . What better guide could there be to that value than the price at which these paintings happened to be knocked down at Sotheby's so shortly afterwards? The price which the international art market was willing to pay was surely prima facie the best evidence of the foxhounds' value ." Also the equilibrium of the qualibrium is hard to distinguish between . </P>

The market price of real estate is generally the same as