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If the Price Level in the United States Is 110,the

Question 252

Multiple Choice

If the price level in the United States is 110,the price level is 135 in Mexico,and the nominal exchange rate is 12.5 pesos per dollar,what is the real exchange rate from the U.S.perspective?


A) 8.8
B) 10.2
C) 10.8
D) 11.4

Correct Answer:

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