Name _________________ Principles of Economics

International Price Comparisons

1. Go to a local store and find prices for ten (or more) of the goods shown below.

2. Use the exchange rate of $1.00 US = 14 Dominican Pesos to compare the prices in each country.

3. Circle the three items with the largest price differences.

4. Why might prices differ?

Product Price in Santo Domingo, DR (Dominican Pesos)

Avocado 5.45

rice, 1 pound 5.45

beer, 6-pack 59.95

rum, 700 cc 42.75

Tanquery Gin, 750 ml 189.00

Campbell's tomato soup 15.95

Kellogg's Corn Flakes, 11.2 oz 29.95

Pepperidge Farm Cookies, 6 oz 36.95

Corn oil, 96 oz 75.95

butter, 1/4 pound 7.95

hot dog rolls, 8 rolls 14.00

coffee, 1 pound 29.95 sugar,

1 pound 4.30

Chiclets gum, 3 boxes 14.45

milk, 1/2 gallon 24.95

Chicken, pound 13.95

large eggs, 1 dozen 16.95

unleaded gasoline, gal 32.00