Let P denote the price of goods in the United States,
denote the price of goods in the foreign country,and E denote the exchange rate,measured as the number of units of foreign currency that can be purchased with one dollar.According to the law of one price,
.

Question

Let P denote the price of goods in the United States,  
denote the price of goods in the foreign country,and E denote the exchange rate,measured as the number of units of foreign currency that can be purchased with one dollar.According to the law of one price,  
.

Quizplus · Accepted Answer

The Answer of Let P denote the price of goods in the United States,  
denote the price of goods in the foreign country,and E denote the exchange rate,measured as the number of units of foreign currency that can be purchased with one dollar.According to the law of one price,  
.

Let P Denote the Price of Goods in the United