The situation in which the difference in interest rates between two currencies is equal to the expected change in the spot rate over the same time period is known as:

A) covered interest arbitrage
B) covered interest parity
C) uncovered interest parity
D) uncovered interest arbitrage

Answer: C) uncovered interest parity

Economics

You might also like to view...

The equation, ?Y/Y = ?A/A + aK?K/K + aN?N/N, is known as

A) the production function. B) the Solow model. C) the productivity formula. D) the growth accounting equation.

Economics

A person who voluntarily quits their job in New York and expects to get a similar job in Los Angeles is an example of

Economics