Question 26 (1 point) If the one-year interest rate is 2% on Swiss francs and 6% on U.S. dollars, the exchange rate is currently SFr 1 = $0.94, and the expected spot rate in 2 years is SFr 1 = $1.14, what does the International Fisher Effect suggest the U.S. interest rate will become in 2 years? (Enter your answer as a whole number with no symbols. For example, if you compute 1.23%, enter "1.23") Your Answer: Ancier Question 28 (1 point) Use the monetary approach to predict the U.S. inflation rate, given the following forecasts: money supply growth = 5%, real GNP growth = 2%, and the velocity of money will increase 0.7%. (Enter your answer as a whole number with no symbols and one decimal place. For example, if you compute 1.2%, enter "1.2") Your Answer: Answer Question 29 (1 point) If the U.S. risk-free rate is 1.9% and Panama has $30000000 annual value of seigniorage from paper currency which will never return to the United States, what is total number of US dollars circulating in Panama? Your Answer: Answer Page 29 of 30 Previous Page Next Page