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1 . Assume the current spot rate between the UK and the U . S . is 0 . 7 5 4 per $ 1
Assume the current spot rate between the UK and the US is per $ the expected inflation rate in the US is percent, and the expected inflation rate in the UK is percent If relative purchasing power parity exists, what will the exchange rate be next year
In New York, you can exchange $ for or Suppose that, in Berlin, costs How much profit can you earn on $ using triangle arbitrage? Enter your answer rounded off to two decimal points.
Assume the current spot rate between the UK and the US is per $ the expected inflation rate in the US is percent, and the expected inflation rate in the UK is percent. If relative purchasing power parity exists, what will the exchange rate be years from now? Enter your answer rounded off to FOUR decimal points.
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