According to Purchasing-Power Parity,if Over the Course of a Year

question 54

Multiple Choice

According to purchasing-power parity,if over the course of a year the price level in the U.S.rises more than in Japan,then which of the following falls?

• A)the U.S.real exchange rate,but not the U.S.nominal exchange rate
• B)the U.S.nominal exchange rate,but not the U.S.real exchange rate
• C)the U.S.nominal exchange rate and the U.S.real exchange rate
• D)neither the real exchange rate nor the nominal exchange rate

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Definitions:

Tobacco

Leaves of the tobacco plant, dried and processed for use in smoking, chewing, or snuffing, and known for containing the addictive substance nicotine.

Heritability of Alcoholism

The heritability of alcoholism refers to the extent to which genetic factors contribute to the risk of developing alcoholism, indicating a significant genetic predisposition in some families.

Alcoholism

Chronic disease involving dependence on use of alcohol, causing interference with normal functioning and fulfillment of obligations.

Willpower

The ability to resist short-term temptations in order to meet long-term goals, often associated with self-control and discipline.