The following exchange rates are in equilibrium: SSFr/€ = SFr1.60/€, S€/¥ = €0.0125/¥, and S¥/SFr = ¥50.00/SFr.
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Q12: Prices in two currencies are related through
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Q14: Interest rate parity (IRP) holds within the
Q15: Prices in two currencies are related through
Q16: Covered interest arbitrage ensures that the ratio
Q18: The actions of arbitrageurs promote the law
Q19: Forward premiums and discounts depend on interest
Q20: Real assets are more likely to conform
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