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Movements in the nominal exchange is determined primarily by a. inflation differentials in the short run and interest rate differentials in the long run b.

Movements in the nominal exchange is determined primarily by

a.

inflation differentials in the short run and interest rate differentials in the long run

b.

interest rate differentials in the short run and inflation differentials in the long ru n

c.

inflation differentials in both the short and long run

d.

interest rate differentials in both the short and long run

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