The Theory of PPP Suggests That If One Country's Price

question 18

Multiple Choice

The theory of PPP suggests that if one country's price level falls relative to another's,its currency should

• A)depreciate in the long run.
• B)appreciate in the long run.
• C)appreciate in the short run.
• D)depreciate in the short run.

---

Definitions:

Toddler

A young child, especially one who is learning or has recently learned to walk, typically aged between one and three years.

American Girl

A brand of dolls and books that aim to teach historical and contemporary stories through characters, focusing on themes of courage, compassion, and respect.

Puberty

The developmental stage during which a child's body transitions into an adult body capable of sexual reproduction.

Age

The length of time that a person or thing has existed, typically measured in years from the date of birth for people.