In terms of U.S. dollars, a small bag of cheese-flavored Ruffles potato chips is $1.69 in Japan

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In terms of U.S. dollars, a small bag of cheese-flavored Ruffles potato chips is $1.69 in Japan and only 8 cents in Myanmar.
Do these prices indicate that purchasing power parity does not prevail? Why or why not?

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Macroeconomics Canada in the Global Environment

ISBN: 978-0321778109

8th edition

Authors: Michael Parkin, Robin Bade

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Question Posted: Dec 19, 2015 04:59 AM

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In terms of U.S. dollars, a small bag of cheese-flavored Ruffles potato chips is $1.69 in Japan

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Purchasing power parity does not prevail because the prices of very similar in the ...View the full answer

Macroeconomics Canada in the Global Environment

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