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One Dollar Could Be Exchanged for 55 Rupees in 2013

Question 3

Multiple Choice

One dollar could be exchanged for 55 rupees in 2013 and for 60 rupees in 2014.This implies that the ________.


A) dollar appreciated in 2014
B) rupee appreciated in 2014
C) nominal exchange rate did not change in 2014
D) real exchange rate did not change in 2014

Correct Answer:

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