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    International Economics Study Set 9
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    Exam 14: Exchange Rates I: the Monetary Approach in the Long Run
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    Economists Have Developed Models to Predict Changes in Exchange Rates
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Economists Have Developed Models to Predict Changes in Exchange Rates

Question 92

Question 92

Multiple Choice

Economists have developed models to predict changes in exchange rates based on inflation trends. To guide forecasts of exchange rates, economists calculate the average:


A) speed of convergence.
B) PPP.
C) interest parity.
D) price deviation.

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