Question: Suppose the expected nominal interest rate is 9% and the expected inflation rate is 5% in South Africa, while the expected nominal interest rate is

Suppose the expected nominal interest rate is 9% and the expected inflation rate is 5% in South Africa, while the expected nominal interest rate is 1% and the expected deflation rate is 2% in the U.S. What do you expect to happen to the real ZAR/USD exchange rate over the next year if the interest parity holds

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