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What is the primary determinant of real saving and real consumption according to Keynes? Explain.
Japanese Yen
The official currency of Japan, often symbolized as ¥, used in both domestic and international financial transactions.
Interest Rate Parity
A theory stating that the difference in interest rates between two countries is equal to the difference in the forward exchange rate and the spot exchange rate.
Covered Interest Arbitrage
An investment strategy where an investor uses the difference in interest rates between two countries to profit from currency exchange rate changes, using a forward contract to hedge exchange rate risk.
Profit or Loss
The difference between total revenues and total expenses of a business over a specific period of time.
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