relative purchasing power parity

( RPPP)
Idea that the rate of change in the price level of commodities ( commodity) in one country relative to the price level in another determines the rate of change of the exchange rate between the two countries' currencies. Bloomberg Financial Dictionary

Financial and business terms. 2012.

Look at other dictionaries:

  • Relative purchasing power parity (RPPP) — Idea that the rate of change in the price level of commodities in one country relative to the price level in another determines the rate of change of the exchange rate between the two countries currencies. The New York Times Financial Glossary …   Financial and business terms

  • Purchasing power parity — GDP per capita adjusted for Purchasing Power Parity (PPP) in the world, 2009 …   Wikipedia

  • purchasing power parity — PPP The theory that, after adjusting for the exchange rate, the cost of a good should be the same in all countries. In other words, the rate of exchange between two currencies should be such that each currency has exactly the same purchasing… …   Big dictionary of business and management

  • Purchasing Power Parity - PPP — An economic theory that estimates the amount of adjustment needed on the exchange rate between countries in order for the exchange to be equivalent to each currency s purchasing power. The relative version of PPP is calculated as: Where: S… …   Investment dictionary

  • Purchasing Power Parity — Parité de pouvoir d achat Pour les articles homonymes, voir Parité et PPA. La parité de pouvoir d achat (PPA) (on parle de valeurs mesurées en parité de pouvoir d achat) est une méthode utilisée en économie pour établir une comparaison entre pays …   Wikipédia en Français

  • relative form of purchasing power parity — Theory that the rate of change in the prices of products should be somewhat similar, but not absolutely the same when measured in a common currency, as long as transportation costs and trade barriers are unchanged. Bloomberg Financial Dictionary …   Financial and business terms

  • Parity Price — When the price of an asset is directly linked to another price. Examples of parity price are: 1. Convertibles the price at which a convertible security equals the value of the underlying stock. 2. Options when an option is trading at its… …   Investment dictionary

  • parity — A yardstick for measuring the prosperity of the farmer, the measurement taken being relative, the purpose being to have the prices of farm products at such levels that such products will have the same purchasing power in terms of goods and… …   Ballentine's law dictionary

  • Doctrine of parity — The doctrine of parity was used to justify agricultural price controls in the United States beginning in the 1920s. It was the belief that farming should be as profitable as it was between 1909 and 1914, an era of high food prices and farm… …   Wikipedia

  • Regional power — In international relations, a regional power is a state that has power within a geographic region. [http://66.102.9.104/search?q=cache:1oWDzyQHN9kJ:www.essex.ac.uk/ECPR/events/jointsessions/helsinki/long ws outlines/ws9.doc+%22regional+power%22… …   Wikipedia

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