Foreıgn Trade Deneme Sınavı Sorusu #1399268

Which one of the following states that the domestic interest rate is equal to the total of foreign interest rate and to the expected rate of change in the foreign exchange rate?


The interest parity condition

The law of one price

Relative productivity

Relative price level

Domestic real GDP


Yanıt Açıklaması:

The interest parity condition states that the domestic interest rate is equal to the
total of foreign interest rate and to the expected rate of change in the foreign exchange rate

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