Question: Question 18 If a nation experiences 5% inflation while its trading partner experiences 1% inflation, and if PPP holds, what happens to its real exchange

Question 18 If a nation experiences 5% inflation while its trading

Question 18 If a nation experiences 5% inflation while its trading partner experiences 1% inflation, and if PPP holds, what happens to its real exchange rate? it depreciates by 4%. it does not change it appreciates by 4% No answer text provided

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