Question
The current spot USD/HUF exchange rate is 287.02. Long-runinflation in Hungary is estimated at 11.8 percent annually and 3.2percent in the United States. If PPP
The current spot USD/HUF exchange rate is 287.02. Long-runinflation in Hungary is estimated at 11.8 percent annually and 3.2percent in the United States. If PPP is expected to hold between the two countries, what spot exchange should one forecast 5 years into the future?
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International Financial Management
Authors: Cheol S. Eun, Bruce G.Resnick
6th Edition
71316973, 978-0071316972, 78034655, 978-0078034657
