According to Fisher, in the absence of government interference and holding risk constant, real rates of return across countries will be equalized through a process of ____.

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According to Fisher's theory of interest rate parity, in the absence of government interference and holding risk constant, real rates of return across countries will be equalized through a process of arbitrage, in which investors move funds between countries to take advantage of differences in interest rates. This arbitrage process helps to maintain the equilibrium in the global financial system.

According to Fisher, in the Absence of Government Interference and Holding