The major difference between absolute purchasing power parity (APPP) and relative purchasing power parity (RPPP) is:

a. APPP deals the equilibrium exchange rate for a basket of goods, and RPPP deals with changes in equilibrium exchange rate for a basket of goods.
b. APPP deals with changes in nominal exchange rates for a basket of goods, and RPPP deals with changes of exchange rates for a particular good.
c. APPP deals with the equilibrium exchange rate for one good, and RPPP deals with the equilibrium exchange rate for a basket of goods.
d. APPP deals with changes in nominal exchange rates for a basket of goods, and RPPP deals with levels of exchange rates for a particular good.
e. None of the above.

.A

Economics

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