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Assume that the inflation rate in Mexico is 4.20%, while the inflation rate in the U.S. is 3.00%. According to PPP, the Mexican Peso should

Assume that the inflation rate in Mexico is 4.20%, while the inflation rate in the U.S. is 3.00%. According to PPP, the Mexican Peso should by %. O depreciate: 1.15 O appreciate; 1.31 appreciate: 1.08 O depreciate: 1.49

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