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When the ratio of domestic prices to foreign prices rises, ________.
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When the ratio of domestic prices to foreign prices rises, ________.
When the ratio of domestic prices to foreign prices rises, ________.
▸ the real exchange rate depreciates
▸ the real exchange rate appreciates only when the nominal exchange rate appreciates
▸ the real exchange rate appreciates even when the nominal exchange rate is constant
▸ the real exchange rate appreciates only when the nominal exchange rate depreciates
Textbook
Macroeconomics
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3
rd
Authors:
Acemoglu, Laibson, List
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the real exchange rate appreciates even when the nominal exchange rate is constant
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Ashurbanipal
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Thank you, thank you, thank you!
Liarec
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I appreciate what you did here, answered it right
brina10
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You make an excellent tutor!
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