Incomplete exchange rate pass-through refers to
A) the rates at which domestic suppliers decrease its prices to accommodate foreign exchange volatility.
B) the degree of un-proportional change in prices of imports and exports relative to periodic changes in the exchange rate.
C) the fee charged by foreign exchange dealer when the exporter cancels the transaction.
D) the rate at which exporters increase prices when their home currency depreciates.
Correct Answer:
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