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A Benefit of Using "Purchasing Power Parity" (PPP) Is That

Question 3

Multiple Choice

A benefit of using "purchasing power parity" (PPP) is that


A) it considers the size of the population in comparing countries' relative wealth.
B) it controls for the value of a country's currency in the world market.
C) it improves between-country comparisons of the monetary value of the bundle of goods consumers can afford.
D) it takes into account the value of goods produced by all workers within the country's economy, not just citizens.
E) it improves the operation of fair trade between countries.

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