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Suppose that the one-year interest rate is 5.0 percent in the United States, the spot exchange rate is $1.20/?, and the one-year forward exchange rate

Suppose that the one-year interest rate is 5.0 percent in the United States, the spot exchange rate is $1.20/â?¬, and the one-year forward exchange rate is $1.16/â?¬. What must one-year interest rate ...

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