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Purchasing Power Parity

Purchasing Power Parity: Formula, Calculation, Pros, Cons

Updated on April 12, 2022 by Ahmad Nasrudin

Purchasing Power Parity Formula Calculation Pros Cons

What's it: Purchasing power parity (PPP) is an economic concept for equalizing the price of a set of identical items across different locations.

Topic: Exchange Rate, Purchasing Power Parity Category: Macroeconomics

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