The country of Canada has large capital flows with the U.S. It has very little trade with the U.S, and will not see any significant increase in trade with the U.S. in the future. Its interest rate is 6%, the same as the U.S. interest rate. Its rate of inflation is 5%, the same as the U.S. inflation rate. You expect that the inflation rate in Canada will rise to 8% this coming year, while the U.S. inflation rate will remain at 5%. You expect that Canada's interest rate will rise to 9% during the next year. You expect that the U.S. interest rate will remain at 6% this year. You can assume that there will be no central bank intervention to try to manipulate the exchange rate for Canada's currency. If your expectations about future inflation and interests rates are correct, will Canada's currency appreciate, depreciate, or remain unchanged against the dollar? Briefly explain why.