Over a short-run period (i.e., week or month), ________ dominate exchange rate movements.
A. short-run inflation differentials
B. nominal price changes
C. relative price changes
D. None of the above
Answer:C
Over a short-run period (i.e., week or month), ________ dominate exchange rate movements.
A. short-run inflation differentials B. nominal price changes C. relative price changes D. None of the above