purchasing-power-parity-theorem

  1. Nicole Seaman

    P1.T3.22.17, Covered and uncovered interest rate parity

    Learning objectives: Explain the purchasing power parity theorem and use this theorem to calculate the appreciation or depreciation of a foreign currency. Describe the relationship between nominal and real interest rates. Describe how a non-arbitrage assumption in the foreign exchange markets...
    • Nicole Seaman
    • Thread
    • covered-interest-rate-parity foreign-currency foreign-exchange-market interest-rate-parity-theorem nominal-interest-rates non-arbitrage-assumption purchasing-power-parity-theorem real-interest-rates uncovered-interest-rate-parity
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    • Forum: FRM® Practice Questions
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