Open Economy Macroeconomics: Interest Rate Parity
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YouTubeKlaus Prettner
Open Economy Macroeconomics: Interest Rate Parity
This lecture explains the concept of interest rate parity. First, I use a no-arbitrage argument to derive the Uncovered Interest Rate Parity (UIRP). Afterwards, I explain forward exchange markets and the Covered Interest Rate Parity (CIRP). For the full Intermediate Macroeconomics Cource, please see the following lectures: https://youtu.be ...
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