What Does Purchasing-Power Parity Imply About the Purchasing Power of the Dollar

Multiple Choice

What does purchasing-power parity imply about the purchasing power of the dollar?

A) It is the same in the Canada as in foreign countries.
B) It depends on the nominal exchange rate.
C) It is greater in the country with lower prices in local currency.
D) It has no relevance for the purchasing power of the dollar in foreign countries.