MCQOPTIONS
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| 1. |
_Purchasing-power parity (PPP) refers to__________$? |
| A. | the concept that the same goods should sell for the same price across countries after exchange rates are taken into account |
| B. | the concept that interest rates across countries will eventually be the same |
| C. | the orderly relationship between spot and forward currency exchange rates and the rates of interest between countries |
| D. | the natural offsetting relationship provided by costs and revenues in similar market environments |
| Answer» B. the concept that interest rates across countries will eventually be the same | |