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  3. Study Set
    Foreign Exchange Management
  4. Exam
    Exam 1: Foreign Currency Accounts, Exchange Rates, and Derivatives: Exploring the World of Foreign Exchange
  5. Question
    If PPP Holds
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If PPP Holds

Question 7

Question 7

Multiple Choice

If PPP holds


A) The nominal exchange rate will not change.
B) The real exchange rate will not change.
C) Both real and nominal exchange rates will not change.
D) Both real and nominal exchange will move together

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