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In international exchange, parity refers to the exchange rate between the currencies of two countries making the purchasing power of both currencies substantially equal. Further reading Austrian school.
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Parity: Parity in economics, purchasing power, rate of exchange, equality in price wages. Adam Smith struggled with what came to be called the paradox of “ value in use” versus “ value in exchange. The many subfields of economics cover a wide variety of topics decision makers in governments as well as in business other organizations use the tools of economics to inform their decisions.

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