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When the ratio of domestic prices to foreign prices falls, ________.
RHCP12
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When the ratio of domestic prices to foreign prices falls, ________.
When the ratio of domestic prices to foreign prices falls, ________.
▸ the real exchange rate depreciates only when the nominal exchange rate appreciates
▸ the real exchange rate depreciates even when the nominal exchange rate is constant
▸ the real exchange rate appreciates
▸ the real exchange rate depreciates only when the nominal exchange rate depreciates
Textbook
Macroeconomics
Edition:
3
rd
Authors:
Acemoglu, Laibson, List
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the real exchange rate depreciates even when the nominal exchange rate is constant
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this is exactly what I needed
jasonbourne
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Thanks for your help!!
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Just got PERFECT on my quiz
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