How does the exchange rate method of comparing incomes differ from the purchasing power method of comparing

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How does the exchange rate method of comparing incomes differ from the purchasing power method of comparing incomes?
Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...
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Macroeconomics

ISBN: 978-0077307110

8th edition

Authors: David Colander

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