Question 2: (10 Marks) Assume UK interest rates are generally above foreign interest rates. Critically...
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Question 2: (10 Marks) Assume UK interest rates are generally above foreign interest rates. Critically discuss the following points and explain your answers with the help of appropriate examples and diagrams. A. What does this suggest about the future strength or weakness of the British pound based on the IFE? B. Should UK investors invest in foreign securities if they believe in the IFE? C. Should foreign investors invest in UK securities if they believe in the IFE
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