jnu pls help

[neha 1]

In 2010 the exchange rate of the Indian rupee was rs 50 per us dollar. By 2012 it had risen to rs 60 per us dollar.in 2012 the us price index was 105 with base year 2010. In India the price index rose from 100 to 120 between 2010 and 2012. What is the difference between nominal and real exchange rates of the Indian rupee vis a vis the us dollar? A. Around 10% B. Around15% C. Around 20% D. None

[ABHI1994]

b

On 14 May 2015 at 21:37, neha 1 [via Discussion forum] <[hidden email]> wrote:

In 2010 the exchange rate of the Indian rupee was rs 50 per us dollar. By 2012 it had risen to rs 60 per us dollar.in 2012 the us price index was 105 with base year 2010. In India the price index rose from 100 to 120 between 2010 and 2012. What is the difference between nominal and real exchange rates of the Indian rupee vis a vis the us dollar? A. Around 10% B. Around15% C. Around 20% D. None

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[neha 1]

Pls explain

[ABHI1994]

put all the detail in to the real exchange formula.

On 14 May 2015 at 23:20, neha 1 [via Discussion forum] <[hidden email]> wrote:

Pls explain

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[neha 1]

Show your calculations I am still not getting

[ABHI1994]

in 2012 nominal exchange rate is 60,domestic price will be 120 and foreign price level is 105 put it in to the formula

and you will get 68.5 approx. since nominal exchange rate is 60,68.5-60=8.5 which is approx. 15% of 60

On 14 May 2015 at 23:45, neha 1 [via Discussion forum] <[hidden email]> wrote:

Show your calculations I am still not getting

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