According to the Principle of Purchasing Power Parity, the 2001

question 44

Multiple Choice

According to the principle of purchasing power parity, the 2001 devaluation of the Argentine peso:

• A) increased the inflation rate in Argentina relative to the inflation rate in the United States.
• B) made Argentine imports from the United States cheaper.
• C) decreased the inflation rate in Argentina relative to the inflation rate in the United States.
• D) had no impact on the Argentine inflation rate.

---

Definitions:

North and South America

Denotes the two continents making up the Americas, with North America including countries like the United States and Canada, and South America comprising countries like Brazil and Argentina.

Foreign Countries

Nations outside of one's own, often referenced in the context of international relations, trade, or travel.

Pike's Expedition

An early 19th-century expedition led by U.S. Army officer Zebulon Pike, aiming to explore the southern portion of the Louisiana Territory.

Louisiana Territory

A large area of land in the United States that was purchased from France in 1803, doubling the size of the country.