Assuming that japan is the domestic currency

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Reference no: EM131493350

Given the following data,

E_t = 110 Japanese Yen = $1.00

Expected E_[t+1] = 106 JPN Yen = $1.00

R_U.S. = 6%

Assuming that Japan is the domestic currency, if the interest parity condition is expected to hold, interest rates in Japan (R_Japan)

should equal _______

Reference no: EM131493350

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