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Using the flow approach (demand-supply view) to exchange rate determination, a) show how the equilibrium exchange rate (S$/TL) is determined and discuss how the stability

Using the flow approach (demand-supply view) to exchange rate determination, a) show how the equilibrium exchange rate (S$/TL) is determined and discuss how the stability condition depends on price elasticities of imports and exports. b) explain graphically what happens to exchange rate when inflation rises up in home country

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