Question: Suppose that the current exchange rate is 1.15 = 1, but it is expected to be 1.09 = 1 in one year. If the current

Suppose that the current exchange rate is 1.15 = 1, but it is expected to be 1.09 = 1 in one year. If the current interest rate on a one-year government bond in the United Kingdom is 6%, what does the interest-rate parity condition indicate the interest rate will be on a one-year government bond in Germany? Assume that there are no differences in risk, liquidity, taxation, or information costs between the bonds The German Interest rate will be ]%(Round your response to two decimal places.)

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