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1. what is the effect of Purchasing Power Parity and Interest Rate Parity on exchange rates. 2 what are the factors which affect supply and

1. what is the effect of Purchasing Power Parity and Interest Rate Parity on exchange rates.

2 what are the factors which affect supply and demand of exchange rates.

3 . Develop your own theoretical model by combining any factors that you deem as important in determining the above exchange rate, estimate an econometric model

(determine the historical movementofAUD/USDexchange rate and predictwhat the rate will be in 1 Jan 2021. )

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