Question: The current spot exchange rate is ( $ 0.052 ) per Mexican peso. Assume that the real interest rate is 2 everywhere, and that the

$The current spot exchange rate is \$ \\$ 0.052 \$ per$

The current spot exchange rate is \$ \\$ 0.052 \$ per Mexican peso. Assume that the real interest rate is \2 everywhere, and that the annual nominal interest rate is \3 in the U.S. and \5 in Mexico. Part 1 Attempt 2/6 for 10 pts. What is the approximate expected percentage change in the exchange rate (measured in U.S. dollars per Mexican peso) according to the international Fisher effect

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