What would be impact of these different rates of inflation

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Question - US inflation has been steady at around 2% to 3% for over a decade, while Indian inflation has been around 4% to 6% over the last decade. What would be the impact of these different rates of inflation on the exchange rate between the US Dollar and the Indian Rupee according to Purchasing Power Parity? What factors other than Purchasing Power Parity may influence the exchange rate?

Reference no: EM133187233

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