The real, effective exchange rate is:
a. The same as the nominal, effective exchange rate.
b. The value of one currency in terms of another currency.
c. The nominal, bilateral exchange rate adjusted for the international price levels of the two countries.
d. The weighted-average value of a currency relative to many foreign currencies.
e. The nominal, effective exchange rate adjusted for a nation's price level relative to many foreign countries' prices.
Question 2
The real, bilateral exchange rate is the:
a. Weighted-average value of a currency relative to many foreign currencies.
b. Value of one currency in terms of another currency.
c. Nominal, bilateral exchange rate adjusted for the international price levels of the two countries.
d. Nominal, effective exchange rate adjusted for a nation's price level relative to many foreign countries' prices.
Cation binding and exchange.
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