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Business, 21.04.2020 18:31 smithcj0505

A regression model was applied to explain movements in the Canadian dollar's value over time. The coefficient for the inflation differential between the U. S. and Canada was -0.2. The coefficient of the interest rate differential between the U. S. and Canada produced a coefficient of 0.8. Thus, the Canadian dollar depreciates when the inflation differential and the interest rate differential

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