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Suppose Russia's inflation rate is 60 percent over one year but the inflation rate in Switzerland is only 40 percent. According to relative PPP, over
Suppose Russia's inflation rate is 60 percent over one year but the inflation rate in Switzerland is only 40 percent. According to relative PPP, over the year the Swiss franc's exchange rate against the Russian ruble (E_SFr/R) should A. fall by 1.5 percent. B. fall by 100 percent. C. rise by 20 percent D. fall by 20 percent
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