Multiple Choice
If a dollar bought 1,000 Chilean pesos 10 years ago and 1,500 pesos now,and inflation for that period was 25 percent in the United States and 100 percent in Chile,then:
A) the purchasing-power parity theory is correct.
B) traveling in Chile today costs about the same as it did 10 years ago.
C) traveling in Chile is cheaper now than it was 10 years ago.
D) traveling in Chile is more expensive now than it was 10 years ago.
Correct Answer:

Verified
Correct Answer:
Verified
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