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If purchasing power parity holds what is the spot exchange

A computer costs $500 in the United States. The same model costs 550 euros in France. If purchasing power parity holds, what is the spot exchange rate between the euro and the dollar? If euros sell for $1.50 (U.S.) per euro, what should dollars sell for in euros per dollar?

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Finance Basics: If purchasing power parity holds what is the spot exchange

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