Deviations from PPP
A. may be due to the differential speed of adjustment between exchange rates and prices.
B. may occur when international trade involves lags between order and delivery.
C. may appear during periods dominated by news or unexpected events.
D. All of the above.
Answer:D
Deviations from PPP
A. may be due to the differential speed of adjustment between exchange rates and prices. B. may occur when international trade involves lags between order and delivery. C. may appear during periods dominated by news or unexpected events. D. All of the above.