May 2025
Purchasing power parity and inflation
Purchasing power parity and inflation Abstract AbstractIt has long been recognized that large fluctuations in the domestic general price level, typically of monetary origin, overshadow the effects of other factors on the exchange rate, which is a situation in which the purchasing power parity (PPP) calculations may prove insightful. In this paper, we attempt to […]
A Survey of the Issues of PPP
A Survey of the Issues of PPP The purchasing power parity (PPP) doctrine, one of the most widely researched areas in international finance, is also probably one of the most controversial in the theory of exchange rate determination. According to the theory of purchasing power parity, the rate of exchange between two currencied determined by […]