Question:
"A theory of international exchange which holds that the price of similar goods in different countries is the same " is the concept of :
"A theory of international exchange which holds that the price of similar goods in different countries is the same " is the concept of :
Updated On: Oct 18, 2024
- Real exchange rate
- Present value
- Purchasing power parity
- Nominal exchange rate
Hide Solution
Verified By Collegedunia
The Correct Option is C
Solution and Explanation
The correct option is (C) : Purchasing power parity
Was this answer helpful?
0
0
Top Questions on Foreign exchange market
- For a given foreign currency, if the forward exchange rate of delivery is 20 and the current value of spot exchange rate is 8, then the forward premium will be _________ (rounded off to two decimal places).
- GATE XH-C1 - 2024
- International Economics
- Foreign exchange market
- Select the correct sequence that lead to the need for the introduction of New Economic policy 1991 in India:
(A) Foreign exchange reserves dropped
(B) World Bank gave loan to manage crisis
(C) New economic policy 1991 announced
(D) India met with an economic crisis related external debt
Choose the correct answer from the options given below:- CUET (UG) - 2023
- Economics
- Foreign exchange market
- Which is not a part of progress of china?
- CUET (UG) - 2023
- Economics
- Foreign exchange market
- Given below are two statements: one is labelled as Assertion A and the other is labelled as Reason R
Assertion A: There is an inverse relationship between the demand of foreign exchange and the exchange rate.
Reason R: A higher exchange rate implies higher prices of foreign goods resulting in lower demand for foreign goods and lower demand for foreign exchange.
In the light of the above statements, choose the correct answer from the options given below- CUET (PG) - 2023
- Economics
- Foreign exchange market
- Identify the set of correct Statements :
(A) Fixed Exchange rate is regulated by the Government
(B) Flexible Exchange rate is regulated by the market forces
(C) Dirty Floating is a hybrid of Fixed and Flexible Exchange rate system
(D) Flexible exchange rate system is also known as dirty floating
(E) Fixed exchange rate keeps on changing with the change in demand and supply of Foreign Exchange
Choose the correct answer from the options given below :- CUET (UG) - 2023
- Economics
- Foreign exchange market
View More Questions
Questions Asked in CUET exam
- A molecule X associates in a given solvent as per the following equation:
X ⇌ (X)n
For a given concentration of X, the van’t Hoff factor was found to be 0.80 and the
fraction of associated molecules was 0.3. The correct value of ‘n’ is:- CUET (UG) - 2024
- Solutions
- Who devised the concept of Intelligence Quotient (IQ)?
- CUET (UG) - 2024
- Psychological attributes
- Two pipes A and B can fill a tank in 32 minutes and 48 minutes respectively. If both the pipes are opened simultaneously, after how much time B should be turned off so that the tank is full in 20 minutes?
- CUET (UG) - 2024
- Time and Work
- If \(A = \begin{bmatrix} 3 & 2 \\ -1 & 1 \end{bmatrix} \quad \text{and} \quad B = \begin{bmatrix} -1 & 0 \\ 2 & 5 \\ 3 & 4 \end{bmatrix},\)then \((BA)^T\) is equal to:
- CUET (UG) - 2024
- Matrices
- The spin-only magnetic moment of Hexacyanomanganate(II) ion is.........BM
- CUET (UG) - 2024
- Magnetic moment
View More Questions