Solved

In Countries Where Inflation Is Expected to Be High,interest Rates

Question 76

Multiple Choice

In countries where inflation is expected to be high,interest rates also will be high,because investors want compensation for the decline in the value of their money.This relationship is referred to as the


A) PPP theory puzzle.
B) lead strategy.
C) Fisher effect.
D) bandwagon effect.
E) international Fisher effect.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions