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Foreıgn Trade Deneme Sınavı Sorusu #1407190
Foreıgn Trade Deneme Sınavı Sorusu #1407190
Which 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?
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The interest parity condition |
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The law on one price |
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Purchasing power parity |
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Spot exchange rate |
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Real foreign exchange rate |
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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