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You estimate that inflation in Mexico will be 6.8% and inflation in the U.S. will be 2.2% from end-2016 to end-2017. Using these and the

You estimate that inflation in Mexico will be 6.8% and inflation in the U.S. will be 2.2% from end-2016 to end-2017. Using these and the actual Mexican-U.S. real exchange rate in end-2016, how much would the peso have to nominally appreciate or depreciate relative to the dollar over 2017 so that the actual real exchange rate at end-2017 equals the "equilibrium" rate?

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