Assume that U.S. annual inflation equals 8 percent, while Japanese annual inflation equals 5 percent. If purchasing power parity is used to forecast the future spot rate, the forecast would reflect an expectation of:
a. appreciation of yen's value over the next year
b. depreciation of yen's value over the next year.
c. no change in yen's value over the next year.
d. information about interest rates is needed to answer this question.
a
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Which of the following observations is NOT true of foreign-advance fee scams?
a. Perpetrators are well-known businesses and there is usually some urgency to participate. b. Perpetrators claim to trust the victim with their money or assets. c. Perpetrators are always willing to transfer money or other assets to the victims, but only after money or information is extracted. d. Perpetrators claim to have access to large sums of money or assets.
A term life insurance contract:
A. obligates the insurer to pay the face amount of the policy if the insured dies within a specified period of time. B. develops a cash surrender value that the insured can recover if the policy is terminated. C. develops a loan value that the insured can recover if the policy is terminated. D. obligates the insured to pay the specified premium for the duration of his or her life.
The excess of expenses over revenues is called net income
Indicate whether the statement is true or false
Gross domestic product includes foreign income earned in a country.
Answer the following statement true (T) or false (F)