Question: A case study in the chapter analyzed purchasing-power parity for several countries using the price of Big Macs. Here are data for a few more
A case study in the chapter analyzed purchasing-power parity for several countries using the price of Big Macs. Here are data for a few more countries: For each country, select the predicted exchange rate of the local currency per U.S. dollar. (Hint: Recall that the U.S. price of a big Mac was $4.93. ) According to purchasing-power parity, the predicted exchange rate between the Pakistani rupee and the New Zealand dolifar I Zealand dollar, However, the actual exchange rate is rupees per New Zeoland dollar
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