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Please identify each of the following the statements as true/false/uncertain and support your claim in one or two short sentences. 1. The nominal exchange rate

Please identify each of the following the statements as true/false/uncertain and support your claim in one or two short sentences.

1. The nominal exchange rate between the Canadian dollar and the Mexican peso is 15.5 pesos per dollar, so Canadians could visit Mexico quite cheaply.

2. Although the financial market expects the Canada-US nominal exchange rate to depreciate, investors are indifferent between the bonds in the two countries.

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