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Assuming that absolute purchasing power parity

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Assuming that absolute purchasing power parity holds, what should the U.S./Canadian exchange rate be if the CPI in Canada is 225 and the CPI in the U.S. is 179 and the U.S. interest rate is 6%?

Reference no: EM13338323

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Assuming that absolute purchasing power parity : Assuming that absolute purchasing power parity holds, what should the U.S./Canadian exchange rate be if the CPI in Canada is 225 and the CPI in the U.S. is 179 and the U.S. interest rate is 6%?
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