Question: Describe tools to protect against foreign exchange risks: hedging (spot rates, forward, currency swaps, options, carry trade, arbitrage), natural hedge. Can we forecast foreign exchange

Describe tools to protect against foreign exchange risks: hedging (spot rates, forward, currency swaps, options, carry trade, arbitrage), natural hedge. Can we forecast foreign exchange rates: efficient vs. inefficient market school, fundamental/technical/judgmental forecasts. How does foreign exchange affect the current account: appreciation vs. depreciation of a currency, exchange rate pass-through,

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