Purchasing power parity (PPP) focuses on the relationship between nominal interest rates and exchange rates between two countries.

Name: Purchasing power parity (PPP) focuses on the relationship between nominal interest rates and exchange rates between two countries.
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Purchasing power parity (PPP) focuses on the relationship between the price levels of goods and services in two countries, and its calculation uses exchange rates to determine the relative value of currencies, not nominal interest rates.

Purchasing Power Parity (PPP) Focuses on the Relationship Between Nominal