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Treasury issued its long-awaited report to Congress on international economic and exchange rate policies and concluded once again--despite overwhelming evidence to the contrary--that China was not "manipulating" its currency (the renminbi, or RMB for short). First introduced by The Economist in 1986 and updated frequently since then, the Big Mac index is an informal way of measuring whether one currency is at the theoretically correct exchange rate with another currency. If you traveled in mid-August, for example, the exchange rate was $1. |
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