Purchasing Power Parity (PPP) remains a cornerstone of international economics, positing that in the long run exchange rates should adjust so that identical goods and services cost the same across ...

Purchasing power parity (PPP) is an economic concept that compares the relative value of currencies by examining the cost of identical goods and services across different countries. It helps determine ...

New Delhi: A US dollar may look the same everywhere, but its value changes depending on where you spend it. In some countries, it can buy you a full meal. In others, it won’t even get you a snack.

We offer a unifying empirical model of covered and uncovered currency premia, interest rates and spot and forward exchange rates, both in the cross section and time series of currencies. We find that ...

American political and military leaders are amplifying flawed estimates that China’s annual defense spending is much higher than it actually is. In these mistaken calculations, China’s defense ...