If the price level of domestic goods is 400, the price level of foreign goods is 125,

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If the price level of domestic goods is 400, the price level of foreign goods is 125, and the dollar price of foreign currency is 1.20.

What is the real exchange rate?

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Exploring Economics

ISBN: 9781439040249

5th Edition

Authors: Robert L Sexton

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Posted Date: May 03, 2023 05:26 AM

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If the price level of domestic goods is 400, the price level of foreign goods is 125,

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The real exchange rate is the ratio of the price level of domestic goods t... View the full answer

Exploring Economics

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