Which currency the euro or yen would you consider riskier

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Reference no: EM13180410

Suppose the dollar exchange rates of the euro and the yen are equally variable. The euro, however, tends to depreciate unexpectedly against the dollar when the return on the rest of your wealth is unexpectedly high, while the yen tends to appreciate unex- pectedly in the same circumstances. As a U.S. resident, which currency, the euro or the yen, would you consider riskier?

Reference no: EM13180410

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