Older studies say that forward rates are _________________________ but more recent studies suggest that forward rates __________________________________________.
A)are not good indicators of future currency values;are even less accurate in predicting future currency values
B)are not good indicators of future currency values;of currencies of emerging nations are fairly accurate
C)accurate indicators of future currency values;are poor predictors of future currency values
D)fairly accurate indicators of future currency values;are even better indicators of future currency values than previously thought

Question

Quizplus · Accepted Answer

The older studies suggest that forward rates are not good indicators of future currency values, while more recent studies suggest that forward rates are fairly accurate indicators of currencies of emerging nations. Therefore, option B is the most appropriate choice, as it includes the first part of the older studies' findings and the second part of more recent studies' findings.

Older Studies Say That Forward Rates Are _________________________ but More