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The Nominal Exchange Rate, E, Is Defined as the Number

Question 18

Multiple Choice

The nominal exchange rate, e, is defined as the number of units of:


A) domestic goods relative to the number of units foreign goods.
B) foreign goods relative to the number of units of domestic goods.
C) the foreign currency that one unit of domestic currency will buy.
D) the domestic currency that one unit of foreign currency will buy.

Correct Answer:

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