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But the Bank's poverty line is calculated at purchasing-power parity exchange rates, not market exchange rates.
As previously noted, when confidence in the fixed parity exchange rate drops and market participants expect a change in parity, short-term capital movements may be disequilibrating.
This compares to India's share of global output at 2.6 percent when compared using nominal exchange rates, or 5.7 percent when compared using "purchasing power parity" exchange rates.
His book agent, ghost writer and editor urged him to apply his personal experience to his policy prescriptions, which unfurled in sometimes dense passages about "purchase power parity exchange rates" and "dynamic regulation".
New estimates of GDP evaluated at purchasing-power parity exchange rates from the World Bank (see article) show that in 2011 it was the sixth-biggest economy in the world on this measure, only just behind Germany.
They reckon that for a Latin American household to have no more than a 10% chance of falling back into poverty over a five-year period requires an income of at least $10 per person per day (at purchasing-power parity exchange rates).
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The OECD's ranking uses purchasing-power-parity exchange rates to convert GDP into a common currency.
The comparisons use purchasing-power-parity exchange rates to strip out cost-of-living differences and avoid sharp fluctuations in market exchange rates.In this section Overview Output, demand and jobs Prices and wages GDP per person Money and interest rates The Economist commodity price index Stockmarkets Trade, exchange rates and budgets Stockmarket turnover Reprints.
Cost data were converted to 1998 International dollars by means of GDP deflators [ 56] and purchasing-power-parity exchange rates used for WHO's national health accounts estimates (PPP exchange rates used in this analysis are available from the WHO-CHOICE website: ).
We included measure of quantity (e.g., health service utilization and resources), but the OECD Health Data does not have any measures for prices (e.g., medical price index or medical care purchasing power parities exchange rate).
The trouble is that the tool it uses to weight salaries is the purchasing power parity (PPP) exchange rate, a somewhat blunt instrument.
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