According to purchasing power parity theory, in the long run what would happen to the exchange rate if the price of a computer in the United States = $1,000, the price of a computer in Japan = 200,000 yen, and the current exchange rate was $1.00 = 100 Yen?

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The Answer of According to purchasing power parity theory, in the long run what would happen to the exchange rate if the price of a computer in the United States = $1,000, the price of a computer in Japan = 200,000 yen, and the current exchange rate was $1.00 = 100 Yen?

According to Purchasing Power Parity Theory, in the Long Run