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Save Answer Question 20 1 points The Unbiasedness Hypothesis (Forward Parity) implies that: The forward...

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Save Answer Question 20 1 points The Unbiasedness Hypothesis (Forward Parity) implies that: The forward premium equals the expected appreciation of the spot exchange rate The forward premium is proportional to the difference in the interest rates of the two currencies The expected appreciation of the spot exchange rate is proportional to the difference in the interest rates of the two currencies An increase in the expected inflation rate will cause an approximately equal increase in the nominal interest rate in that currency

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