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Suppose the return on a euro asset is 6 % , and a euro costs $ 1 . 4 5 today and will cost $
Suppose the return on a euro asset is and a euro costs $ today and will cost $ a year from now. In order for interest parity to hold, what must be the return on a comparable dollar asset?
percent
percent
percent
percent
Question
pts
A firm is more likely to access a foreign market through FDI than exporting if trade barriers are and the foreign market is
high; large
high;small
low; large
low, small
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