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Suppose 1-year interest rates are currently 4.20% in the United States and 3.1% in "Euroland". The current spot rate between the euro and dollar is...

Suppose 1-year interest rates are currently 4.20% in the United States and 3.1% in "Euroland". The current spot rate between the euro and dollar is $1.4550=1euro. What is the expected spot rate in one year if the international Fisher effect holds? ($......eur)

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$1.4705/eur is the expected spot... View the full answer

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