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Report an Error question 1 of 5 Why does the PPP theory claim that the exchange rate will be in equilibrium in the long term?

Report an Error question 1 of 5 Why does the PPP theory claim that the exchange rate will be in equilibrium in the long term? Because the level of government spending is the same in the long term Because the purchasing power of different countries is the same in the long term Because the value of all currencies converges towards the same value in the long term Because the interest rates in all countries converge towards the same value in the long term

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