FIN 5130 – Which of the three major theoretical approaches

FIN 5130 – Which of the three major theoretical approaches

admin / July 3, 2018

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1. Which of the three major theoretical approaches (Balance of Payments (flows) Approach, Monetary Approach, Asset Market Approach) seems to put the most weight into arguments on the supply and demand currency? What is its primary weakness?

2. What is the downside of direct and indirect intervention in the currency market?

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