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Suppose the dollar price of an Audi imported from Germany is initially $50,000, and exchange rate-pass through into U.S. import prices is 0.4. This means
Suppose the dollar price of an Audi imported from Germany is initially $50,000, and exchange rate-pass through into U.S. import prices is 0.4. This means that in response to a dollar depreciation by 5% versus the euro, the dollar price of the Audi will Group of answer choices Rise to $55,000 Rise to $51,000 Stay unchanged Fall to $49,000 Fall to $45,000
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