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In a World with Few Impediments to Capital Mobility,the Domestic

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In a world with few impediments to capital mobility,the domestic interest rate equals the sum of the foreign interest rate and the expected depreciation of the domestic currency,a situation known as the


Definitions:

Reflexive Responses

Automatic reactions to certain stimuli that do not involve conscious thought.

Limbic System

Group of structures deep in the brain that function in emotion.

Emotions

Complex psychological states that involve physiological arousal, feelings, cognitive processes, and behavioral reactions.

Synaptic Cleft

The tiny gap at a synapse where neurotransmitters are released from one neuron to signal the next neuron.

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