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Starting in April 2022, the central bank of the US has increased the interest rate in the US from 1% to 3% while the European

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Starting in April 2022, the central bank of the US has increased the interest rate in the US from 1% to 3% while the European central bank has maintained its interest rate at 1%. In April 2022, the exchange rate of the US dollar in terms of Euros was 0.8 Euro. Now the exchange rate of the US dollar in terms of Euros is approximately 1.0 (one) Euro. Is this fact consistent with your answer to question b) of this exercise? Explain why or why not

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