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If there is 12% inflation in Brazil, 16% inflation in Argentina, and the Argentine peso weakens by 24% relative to the Brazilian real, by how

If there is 12% inflation in Brazil, 16% inflation in Argentina, and the

Argentine peso weakens by 24% relative to the Brazilian real, by how much has the peso

strengthened or weakened in real terms? What effect do you expect that this change in the real

exchange rate would have on trade between the two countries?

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