Question: QUESTION 3 2 points Save Answer If interest rate parity holds and the annual Brazil nominal interest rate is 4% and the U.S. annual nominal
QUESTION 3 2 points Save Answer "If interest rate parity holds and the annual Brazil nominal interest rate is 4% and the U.S. annual nominal rate is 5% and real interest rates are 2% in both countries, then inflation in Brazil is about than in the United States." (Use the formula: i= ip+RIP) 2% higher 1% lower 1% higher 2% lower none of the above
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