Which One of the Following States That the Current Forward

question 9

Multiple Choice

Which one of the following states that the current forward rate is an unbiased predictor of the future spot exchange rate?

• A)unbiased forward rates
• B)uncovered interest rate parity
• C)international Fisher effect
• D)purchasing power parity
• E)interest rate parity

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Definitions:

Limestone

A sedimentary rock composed mainly of calcium carbonate, often formed from the shells of marine life.

Carbonate Rocks

Sedimentary rocks composed primarily of carbonate minerals, such as limestone and dolomite, often formed from the accumulation of marine organisms' shells.

Wet Environments

Areas characterized by high moisture levels, which can significantly influence local ecosystems and geology.

Clastic Sedimentary Rocks

Clastic sedimentary rocks are formed from the accumulation and lithification of mechanical weathering debris, consisting mostly of fragments of older rocks.