Question: Purchasing power parity does not hold in reality because: a. consumer preferences for goods and services differ across countries. b. some countries are subject to

 Purchasing power parity does not hold in reality because: a. consumer
preferences for goods and services differ across countries. b. some countries are

Purchasing power parity does not hold in reality because: a. consumer preferences for goods and services differ across countries. b. some countries are subject to currency attacks. c. some countries peg their currency against a basket of currencies rather than a single anchor currency. cl. Only (a) and (c) are correct. e. None of (a), (b), and (c) is correct

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