If the real exchange rate between Turkish lira and U.S. dollar is 3.50, the price level in Turkey is 300, and the price level in U.S. is 150, what is the nominal exchange rate between dollar and lira? Is it the dollar price of lira or the lira price of dollar?

If the real exchange rate between Turkish lira and U.S. dollar is 3.50, the price level in Turkey is 300, and the price level in U.S. is 150, what is the nominal exchange rate between dollar and lira? Is it the dollar price of lira or the lira price of dollar?

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter21: International Finance

Section: Chapter Questions

Problem 11QP

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