#2 1. Briefly describe each of the following terms: a. Eurocurrency markets (2 m

Question

#2

1.   Briefly describe each of the following terms:

a.   Eurocurrency markets                                                                                 (2 marks)

b.   international debt crises                                                                             (2 marks)

c.   purchasing power parity                                                                              (2 marks)

d.   currency arbitrage                                                                                        (2 marks)

e.   interest-rate parity condition                                                                    (2 marks)

Explanation / Answer

a. Eurocurrency market.

b. International debt crisis:

C. Purchasing power parity:

d. Currency arbitrage:

e. Interest rate parity condition:

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