Describe the economic logic behind the theory of purchasing-power parity (PPP). What factors might prevent PPP from holding true?

Describe the economic logic behind the theory of purchasing-power parity (PPP). What factors might prevent PPP from holding true?

Question:Describe the economic logic behind the theory of purchasing-power parity (PPP).What factors might prevent PPP from holding true?Solution:Purchasing Power Parity (PPP) theory estimates…

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