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Unformatted text preview: maturity of less than one year and highly liquid.-Long-term flows = debt instruments with term to maturity of more than one year and less liquid, such as direct Investment.-PPP states that, in the long run, exchange rates in the spot market are determined by Current Account flows PJ = E * P US...
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This note was uploaded on 03/08/2009 for the course ECON 20091_ECO taught by Professor Mohammadsafarzadeh during the Spring '09 term at USC.
- Spring '09
- Interest Rates