Assume the US and Mexico have the same expected real rate of interest. If inflation in the
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Assume the US and Mexico have the same expected real rate of interest. If inflation in the US is 7% per year, interest rates in the US are at 3% per year, and interest rates in Mexico are at 8.2%. What inflation rate do you expect in Mexico? (Answer in percentage)
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Macroeconomics Principles Applications And Tools
ISBN: 9780134089034
7th Edition
Authors: Arthur O Sullivan, Steven M. Sheffrin, Stephen J. Perez
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