Because the purchasing power of the dollar decreased over that 20-year ... the exchange rate from currency A to Currency B should be 3:4 (or 0.75), assuming absolute purchasing power parity.

This failure is striking given that the exchange rate ... 100 in the year 2000 and 120 in 2007, average prices are 20 percent higher than in 2000). In this case, if RER indexes between countries don't ...

The IMF, one of these institutions, publishes many of its statistics—such as real GDP growth, inflation, and current account balances—twice a year in its World ... The other uses the purchasing power ...