
International Financial Management 2nd Edition by Geert Bekaert ,Robert Hodrick
Edition 2ISBN: 978-0132162760
International Financial Management 2nd Edition by Geert Bekaert ,Robert Hodrick
Edition 2ISBN: 978-0132162760 Exercise 18
Suppose you regress the realized rate of appreciation of a foreign currency on a constant and the forward premium on the foreign currency. What interpretation can you give to the estimated slope coefficient If the slope coefficient is negative, is it true that the forward premium is predicting the wrong sign for the rate of appreciation
Explanation
The confidence level of the test in case...
International Financial Management 2nd Edition by Geert Bekaert ,Robert Hodrick
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