Multiple Choice
The real exchange rate measures:
A) the number of foreign goods required to purchase a single unit of a domestic good.
B) the amount of foreign currency you can get for one unit of domestic currency.
C) the number of foreign goods one unit of domestic currency can buy.
D) the value of foreign currency denominated in domestic prices.
E) the relationship between foreign and domestic inflation.
Correct Answer:

Verified
Correct Answer:
Verified
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