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What is the most common method for increasing output capacity?
Real Exchange Rate
A measure that adjusts the nominal exchange rate between two currencies to reflect their purchasing power.
Foreign-Currency Exchange
The system through which currencies are traded and exchanged at determined rates, enabling international trade and investments.
Nominal Exchange Rate
The rate at which a person can trade the currency of one country for the currency of another.
Real Interest Rate
The inflation-adjusted interest rate, signifying the actual cost of borrowing and the genuine return for investors.
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