If interest rate parity is satisfied, there are no opportunities for covered interest arbitrage
What does this imply about the relationship between spot and forward exchange rates when the foreign currency money market investment offers a higher return than the domestic money market investment?
If the foreign currency money market investment offers a higher return (in the foreign currency) than the domestic money market investment, the foreign currency must be at a discount in terms of the domestic currency in the forward market. The forward discount locks in a capital loss when the transaction exchange risk is offset, which reduces the higher return of the foreign currency back to the lower return offered in the domestic money market.
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An _________ provides users of client devices with applications associated with the Internet but isolated within the organization
Fill in the blanks with correct word
What is the basis for a market economy?
A) The ability to pursue an interest with minimal government restriction. B) The ability to limit profits on competitors based on government restriction. C) The ability to offer a good or service at a variety of price points. D) A limitation on the number of competitors the government will allow within a specific geographic region. E) A large number of smaller firms in an industry will limit influence.