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Does exchange rate between 2 countries decided by calculating ppp?
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Thread Starter
Dhakshana DhakshanaOhh k bro..then why PPP is calculated ?
PPP determines exchange rates ( actually it is one of the 3 theories on exchange rate determination) - you will learn about it in CA final SFM
md aslam
No , it's because imports exports inflation etc prices will fluctuate
Ohh k bro..then why PPP is calculated ?