1.

Purchasing-power parity (PPP) refers to__________

A. he concept that the same goods should sell for the same price across countries after exchange rates are taken into account
B. he concept that interest rates across countries will eventually be the same
C. he orderly relationship between spot and forward currency exchange rates and the rates of interest between countries
D. he natural offsetting relationship provided by costs and revenues in similar market environments
Answer» B. he concept that interest rates across countries will eventually be the same


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