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Suppose you start with 1 0 , 0 0 0 and buy stock for $ 1 0 0 when the exchange rate is $ 1

Suppose you start with 10,000 and buy stock for $100 when the exchange rate is $1=100. One year later, yen has depreciated to $1=120. This loss of value is an example of
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weakness in the dollar.
exchange rate risk.
political risk.
market imperfections.

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