3) According to the international Fisher effect, ir U.S. investors expect a 2 rate of domestic inflation over one year, and a rate of inflation in European countries that use the euro, and require a real return on investments over one year, the nominal interest rate on one year U.S. Treasury securities would be Select pts) 29 Next > 1121314151617181910 2) Using PPP, the future spot exchange rate is a function of the spot rate in equilibrium (sy and selected none of these the inflation differential the income differential the forward discount or premium