If the SA Price Level Is Increasing by 3 Per

question 8

Multiple Choice

If the SA price level is increasing by 3 per cent annually and the US price level is increasing by 5 per cent annually, by what percentage would the rand price of US dollars need to change according to purchasing power parity?

• A)depreciate by 5 per cent per year
• B)appreciate by 3 per cent per year
• C)appreciate by 5 per cent per year
• D)depreciate by 2 per cent per year

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Definitions:

Spermicidal Agent

A chemical product used to kill sperm, thereby reducing the likelihood of pregnancy.

Diaphragm

A barrier method of contraception, consisting of a dome-shaped cup made of silicone or latex that fits inside the vagina to cover the cervix and prevent sperm from entering.

User Effectiveness

The measure of how well users can utilize a product or service to achieve their goals.

Depo-Provera

A contraceptive injection for women that contains the hormone progestin to prevent pregnancy.