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(Table: Exchange Rates and Prices) Suppose a Computer Costs $500

Question 90

Multiple Choice

(Table: Exchange Rates and Prices) Suppose a computer costs $500 in the United States. If PPP were to hold at the given nominal exchange rate, then the price of a computer in Mexico would be _____ pesos. (Table: Exchange Rates and Prices) Suppose a computer costs $500 in the United States. If PPP were to hold at the given nominal exchange rate, then the price of a computer in Mexico would be _____ pesos. A) 500 B) 50 C) 5,000 D) 0.02


A) 500
B) 50
C) 5,000
D) 0.02

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