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Suppose that the exchange rate between the russian ruble

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Suppose that the exchange rate between the Russian ruble and the U.S. dollar is currently $0.03 to the ruble. The one year forward rate for the ruble is $0.025 dollars to the ruble. If Russian inflation is 20% what is the approximate U.S. inflation rate if relative purchasing power holds?

Reference no: EM13338318

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