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A Big Mac costs $4.00 in the United States and 9.00 reals in Brazil.If the exchange rate is 2 reals per dollar,purchasing power parity predicts that
Weaker Peso
Refers to a decrease in the value of the peso, the national currency of some countries, against other currencies.
US Imports
Goods or services brought into the United States from other countries for sale or use.
US Exports
US Exports describe goods, services, or commodities that are sent from the United States to other countries for sale or trade.
Price Level
The standard price level for a wide array of goods and services in the economic sector, averaged out.
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