Use the (Hypothetical) Information in the Following Table to Answer

question 142

Multiple Choice

Use the (hypothetical) information in the following table to answer the following questions.Table 18-2
$\begin{array}{|l|l|c|l|c}\hline \text { Country } & \text { Currency } & \begin{array}{l}\text { Currency per } \\\text { U.S. Dollar }\end{array} & \begin{array}{l}\text { U.S. Price } \\\text { Index }\end{array} & \begin{array}{l}\text { Country Price } \\\text { Index }\end{array} \\\hline \text { Bolivia } & \text { boloviano } & 8.00 & 200 & 1600 \\\hline \text { Japan } & \text { yen } & 80.00 & 200 & 20,000 \\\hline \text { Morocco } & \text { dinar } & 10.00 & 200 & 2,000 \\\hline \text { Norwegian } & \text { kroner } & 6.5 & 200 & 1,500 \\\hline \text { Thailand } & \text { baht } & 40.00 & 200 & 7,000 \\\hline\end{array}$

-Refer to Table 18-2. Which currency(ies) is(are) more valuable than predicted by the doctrine of purchasing-power parity?

• A)boloviano and dinar
• B)yen, kroner, and baht
• C)yen and kroner
• D)baht

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