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October 1999, Vol. 122, No. 10
International price comparisons based on purchasing power parityMichelle A. Vachris
Senior economist, Office of Prices and Living Conditions, Bureau of Labor Statistics
Because exchange rate movements, in general, tend to be more volatile than changes in national price levels, the purchasing power parity approach provides the proper basis for comparing living standards and examining productivity levels over time.
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International Price Indexes
Foreign Labor Statistics
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International labor productivity and per capita income.—July 1999.
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