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We sawthat UIP ex-ante (i.e. in expectation) holds in the data for most currencies and time horizons, but UIP ex- post (i.e. in actuality) does
We sawthat UIP ex-ante (i.e. in expectation) holds in the data for most currencies and time horizons, but UIP ex- post (i.e. in actuality) does not always hold in the data. Please list and explain the three hypothesesthat potentially resolve this puzzle.
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