This study addresses the question of how currency exchange rates affect aggregate hotel demand in theU.S. over time, among chain scales, and gateway cities. The effect is isolated after controlling for hotelroom rates, real personal income, and other demand determinants. Exchange rates had a significant,although minor, influence on U.S. hotel demand from 1992 Q1 to 2012 Q1. Disaggregate analyses usingdata organized by time periods corresponding to Internet availability does not offer new insights abouthow exchange rates affect U.S. hotel demand. Analyses using chain scale and gateway city data, however,reveal that exchange rates strongly influence hotel demand in luxury, upper-upscale, and upscale seg-ments, with a much weaker relationship among lower-price hotels. The exchange rate effect is strongestfor upper-price hotels in gateway cities