Question: Suppose that the depreciation of EA/B was 7% over the past year, and prices in country A increased by 4% from this time last year.

Suppose that the depreciation of EA/B was 7% over the past year, and prices in country A increased by 4% from this time last year. Assuming relative PPP holds, what was the rate of inflation in country B from this time last year? Enter your answer as a percent but do not include the percent sign in your answer

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