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Why do people demand for foreign currency? Explain in details. What does Interest Rate Parity(IPR) condition refer to? Explain it by using the IPR formula.

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Why do people demand for foreign currency? Explain in details. What does Interest Rate Parity(IPR) condition refer to? Explain it by using the IPR formula. Explain IPR Model which is also known as Asset Approach. Using the Asset Approach/[RP model, analyze the increase in the US interest rate on value of the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. Using the Asset Approach/[RP model, analyze the increase in the UK interest rate on value of the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. Using the Asset Approach/[RP model, analyze the increase in the expected exchange rate on the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. Using the Rate of Return diagram, analyze the increase in the US interest rate on value of the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. Using the Rate of Return diagram, analyze the increase in the UK interest rate on value of the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. Using the Rate of Return diagram, analyze the increase in the expected exchange rate on value of the spot exchange rate on a graph. Make sure to name all the axes, lines and show the equilibrium points. Please explain the reason the shifts on the graph. Note that Foreign country is United Kingdom and its money is Pound. 10- Explain the Purchasing Power Patity(PPP) theory of exchange rate determination. 1]- Explain the Law of One Price (LOOP). What does it say? When is it hold? Explain by writing the equation. 12- Please explain LOOP to PPP with working on equations. 13- How can we derive the PPP relationship by using CPI? 14- How can we derive the PPP exchanoe rate

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