10 points IS anies Changa foreign exchan of the banks 1 00 quotes short-term funds in cove r with the Euro. He has the follow Spot exchange rate 1.230/E 180-day forward rate 1.250/1 180-day euro interest rate 3.00% per year (1.5 for 10 days) 180 day pound interest rate 4.00 per year (2.0% for 10 days) early explain how James Chang can make a covered interest arbitrage prot 10 points 19. The United States runs a significant trade deficit with the rest of the world. Explain how this imbalance should be "corrected" under: c) A fixed rate regime? d) A floating rate regime