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The Current Swiss Franc/U

Question 11

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The current Swiss franc/U.S. dollar spot exchange rate is 2 Swiss francs per dollar, or CHF/$ = 2.
The expected inflation over the coming year is 2% in Switzerland and 5% in the United States.
What is the expected value for the spot exchange rate a year from now, according to purchasing power parity?

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According to the purchasing power parity...

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