Fisher Effect: Difference between revisions
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imported>Doug Williamson (Layout.) |
imported>Doug Williamson (Add links.) |
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== See also == | == See also == | ||
* [[Carry trade]] | |||
* [[Expectations theory]] | |||
* [[Fisher Effect]] | |||
* [[Four way equivalence model]] | * [[Four way equivalence model]] | ||
* [[Inflation]] | * [[Inflation]] | ||
* [[Interest rate parity]] | |||
* [[International Fisher Effect]] | * [[International Fisher Effect]] | ||
* [[Nominal rate]] | * [[Nominal rate]] | ||
* [[Purchasing power parity]] | |||
* [[Real rate]] | * [[Real rate]] | ||
Revision as of 21:38, 10 October 2020
The theory that 'real' (= excluding inflation) interest rates should be the same in different currencies.
From this theory it then follows that any observed differences in nominal interest rates (= including inflation) are explainable by differences between the inflation expectations for the two related currencies.
