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The determinants of exchange rate fluctuations are different in the short run, medium run, and long run. Which of the following influence short-run exchange rates?
The determinants of exchange rate fluctuations are different in the short run, medium run, and long run. Which of the following influence short-run exchange rates? Check all that apply. Transfers of bank accounts and government securities Flows of goods, services, and investment capital Transfers of assets that are sensitive to differences in real interest rates The following graph presents exchange rates as simultaneously determined by long-term structural, interim cyclical, and short-term speculative forces. ? 5 F D 4 B (w) A EXCHANGE VALUE 1 0 2005 2006 2009 2010 2007 2008 YEAR Complete the following table by indicating the exchange rate path for each graph element listed. Graph Element Exchange Rate Path Green curve F Grey area (w) Green curve AB
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