
- Eastland will have independent monetary policy, so these two company will not share a same yield curve anymore. so investor will invest in the country with a higher rate of return?是这样吗我考试不会写这句话,但是他在问interest rate和exchange rate的link,那既然是fix rate currency,也不share一条收益率曲线了,我就是单纯往r高的地方投资吧?
- Eastland will have independent monetary policy, so these two company will not share a same yield curve anymore,also they have floating currency relationship, so the company has current higher rate of return will appreciate in the short-term(overshooting), but in the long term, high yield currency will depreciate
- weeker company will have a higher return
请老师看一下我回答的够不够全面和简洁
并且回答一下我加粗的问题
谢谢老师