The International Fisher Effect implies that ________

A) the country with the higher interest rate should have lower inflation
B) the currency of the country with the lower interest rate will strengthen in the future
C) the currency of the country with the higher interest rate will strengthen in the future
D) interest rates and inflation are not linked at all

B

Business

You might also like to view...

Companies allocate the proceeds received form a lump-sum sale of securities based on the securiteis par values

a. true b. false

Business

What is the process in which the parties discuss and negotiate the issues indispute with the assistance of a neutral person?

a. Mediation b. Arbitration c. Mini-trial d. Summary trial

Business