Solution-Unbiased predictor of future exchange rates

Unbiased predictor of future exchange rates

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Reference no: EM13200796

It is sometimes argued that a forward exchange rate is an unbiased predictor of future exchange rates. Under what circumstances is this so ?. Provide proof and please be specific about required conditions (assumptions) on relation(s) between financial variable(s) such as of both countries.

Reference no: EM13200796

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Unbiased predictor of future exchange rates

Reference no: EM13200796

Reference no: EM13200796

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