Multiple Choice
Which statement about real exchange rates is not true?
A) Real exchange rate changes are caused by changes in nominal exchange rates.
B) Real exchange rates measure deviations from PPP.
C) Real exchange rates are always unity.
D) Real exchange rates affect the international competitive positions of countries.
Correct Answer:
Verified
Correct Answer:
Verified
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Q4: Suppose that the annual interest rate is
Q5: According to the fundamental approach,if all of
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