Real terms the dollar has approximately

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Reference no: EM131543405

Assume that inflation in the U.S. is 8%, and inflation is Mexico is 11%. If the U.S. dollar appreciates 4% nominally against the peso, in real terms the dollar has approximately: (how much has the U.S. dollar appreciated against the peso in real terms)

Depreciated 1% versus the peso

Depreciated 4% against the peso

Appreciated 4% versus the peso

Depreciated 7% versus the peso

Appreciated 1% versus the peso

Reference no: EM131543405

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