📊 International Economics
Q. If interest rate parity holds, then the one-year forward rate of a currency will ______ the predicted spot rate of the currency in one year according to the international Fisher effect.
  • (A) greater than
  • (B) less than
  • (C) equal to
  • (D) answer is dependent on whether the forward rate has a discount or premium
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✅ Correct Answer: (C) equal to

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