andcurrencyforecasting(跨国公司财务管理-joseph.pptVIP

Multinational Financial Management Alan Shapiro7th Edition J.Wiley Sons Power Points by Joseph F. Greco, Ph.D. California State University, Fullerton CHAPTER 4 PARITY CONDITIONS AND CURRENCY FORECASTING CHAPTER OVERVIEW I. ARBITRAGE AND THE LAW OF ONE PRICE II. PURCHASING POWER PARITY III. THE FISHER EFFECT IV. THE INTERNATIONAL FISHER EFFECT V. INTEREST RATE PARITY THEORY VI. THE RELATIONSHIP BETWEEN THE FORWARD AND FUTURE SPOT RATE VII. CURRENCY FORECASTING PART I. ARBITRAGE AND THE LAW OF ONE PRICE I. THE LAW OF ONE PRICE A. Law states: Identical goods sell for the