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Purchasing power parity

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Tata Mutual Fund
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[object Object],[object Object],[object Object],Many of you have written to me asking for the meaning of Purchasing-Power Parity (PPP). So what is it?
Understanding the purchasing-power parity i.e. PPP Theory – By Prof. Simply Simple ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],First…
[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],So what happens now?
This is because a consumer can spend $30 in the United States for a cricket bat, or he can take his $30, exchange it for 1200 Rupees (since 1 USD = 40 INR) and buy a cricket bat in India and be no better off.
[object Object],[object Object],[object Object],So…
[object Object],[object Object],[object Object],[object Object],Also…
[object Object],[object Object],To Sum Up
[object Object],[object Object],Do write to me at [email_address]

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Purchasing power parity

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  • 2.
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  • 4.
  • 5.
  • 6. This is because a consumer can spend $30 in the United States for a cricket bat, or he can take his $30, exchange it for 1200 Rupees (since 1 USD = 40 INR) and buy a cricket bat in India and be no better off.
  • 7.
  • 8.
  • 9.
  • 10.