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Suppose that an item is selling at $50 in the U.S. and the current exchange...

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Finance

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Suppose that an item is selling at $50 in the U.S. and the current exchange rate between U.S. dollar and UK pound is 1 UK pound per dollar. Which one of the following concepts support the idea that the same item should be selling at 50 UK pound in UK? Covered interest rate parity A. B. Purchasing power parity C. Interest rate parity International Fisher effect D Unbiased forward rate E

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