2. Suppose that MUS = $500 billion MCan = C$50 billion QUS = $7000 billion QCan =...

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2. Suppose that MUS = $500 billion MCan = C$50 billion QUS = $7000 billion QCan = C$600 billion a = 1 b = 0 and that PPP holds.What exchange rate is implied by the monetary theory of exchange rates?

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