Real exchange rate: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Administrator (CSV import) |
imported>Charles Cresswell No edit summary |
||
| Line 8: | Line 8: | ||
== See also == | == See also == | ||
* [[Exchange rate]] | * [[Exchange rate]] | ||
[[Category:Manage_risks]] | |||
Revision as of 23:06, 28 June 2013
The value of a currency in terms of real purchasing power.
It is calculated by comparing the price of a hypothetical market basket of goods in two different countries, translated into the same currency at the prevailing exchange rate.
It is useful in measuring the price competitiveness of domestic goods in international markets.
