Let is and is represent the nominal 1-year interest rates for a home and foreign country, respectively. Suppose that the nominal Interest rate in the United States (the "home country) is 8.50%, while the nominal interest rate in Mexico (the "Foreign country) is 2.00% Use the formula from the previous part of the question, es = 1 - 1, to determine the expected change in the value of the peso under IFE. 14 174 According to the IFE theory, the peso would be expected to change in value by approximately