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Chase Econometrics has just published projected inflation rates for the United States and Euro-zone for the next five years. U.S. inflation is expected to be 2% per year, and Euro-zone inflation is expected to be 3.5% per year. If the current exchange rate is 1.4500 $ per €, what should the expected PPP implied EUR/USD exchange rates be five years from now?
In brief describe the history and purpose of the big Mac Index. where is it most expensive to buy big Mac? where is it least expensive to buy a big Mac?
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