Interet rates Study guides, Class notes & Summaries

Why is a current account surplus equivalent to foreign investment? - A current account surplus leads to the net accumulation of foreign assets. Capital controls are most often aimed at slowing or eliminating movements of - foreign portfolio investment Suppose the Japanese interest rate is 1% while the interest rate in Britain is 3% interet rate parity predicts that relative to the Japanese Yen. - The British pound will depreciate by 2% Purchasing Power Parity (PPP) implies that...

Deep dive into embedded options of bonds with a number of examples including diagrams, charts, and calculations