The Nominal Exchange Rate Is

question 29

Multiple Choice

The nominal exchange rate is .80 euros per dollar and the real exchange rate is 4/3.Which of the following prices for a particular good are consistent with these exchange rates?

• A)$4 in the U.S.and 3 euros in Italy.
• B)$4 in the U.S.and 3.75 euros in Italy.
• C)$5 in the U.S.and 3 euros in Italy.
• D)$6 in the U.S.and 2.50 euros in Italy.

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Definitions:

Reliable Cables

Cables that consistently perform their desired function or task without failure over a specified period.

Undercoverage

A bias in survey sampling where some members of the population are inadequately represented in the sample.

Metropolitan Areas

Large urban areas that include a central city and its surrounding suburbs, characterized by significant population density and economic activity.

East Coast

Refers to the easternmost region of the United States, comprising states along the Atlantic Ocean.