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The theory of ______ states that the prices of tradable goods, when expressed in a common currency, will tend to equalize across countries as a result of exchange rate changes.<…

The theory of ______ states that the prices of tradable goods, when expressed in a common currency, will tend to equalize across countries as a result of exchange rate changes.<…
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The theory of ______ states that the prices of tradable goods, when expressed in a common currency, will tend to equalize across countries as a result of exchange rate changes.

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User Baptiste
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1 Answer

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The answer is; Purchasing Power Parity.

Hope this helped! :)
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User Bencekd
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