1. Purchasing Power Parity
1.1. Inflation Differentials
1.1.1. Low Explanatory Power
1.1.2. Less than 5%
1.1.2.1. Monthly Movements
1.1.3. 95%
1.1.3.1. Weren't caused by Current Inflation
1.2. Mean Reversion
1.2.1. Exchange Rates
1.2.1.1. Fundamental Value
1.2.1.2. Movements
1.2.1.2.1. Short-term
1.2.1.3. Volatility
1.3. Is't Verified in the Short run
1.3.1. Different Consumption Preferences
1.3.2. Relative Price
1.3.2.1. Vary Extensively
1.3.3. Imported and Exported
1.3.3.1. Inflation
1.3.3.2. Taxes and Restrictions
1.3.3.3. Subsidies
2. Exchange Rate Forecasting
2.1. Traditional Portafoio Investors
2.1.1. Study the Relative
2.1.1.1. Social
2.1.1.2. Political
2.1.1.3. Economic
2.2. Economic Anlysis
2.2.1. Far Value
2.2.2. Financial Analysts
2.2.2.1. Fluctuations
2.3. Central Banks
2.3.1. Transactors
2.4. Tasa Forward
2.4.1. The Best Market Estimate
2.4.1.1. Future Spot Exhange Rate
3. International Institutonal Arrangements
3.1. Trade
3.2. Gold Standard
3.2.1. International Reserves
3.2.2. International Transactions
3.2.3. Financial Flows
3.2.4. Industrial Revolution
3.2.5. Exchange Rates Stable
4. Interest Rate Parity
4.1. Riskless Financil Arbitrage
4.1.1. Money Markets
4.2. Transaction Cost Band
4.2.1. Markets
4.2.1.1. Free and Deregulated
4.2.2. Interest Rate
4.2.2.1. Forward Discount / Premium
4.3. Abritrage
4.3.1. Major Invesment Currencies
4.3.1.1. Must Hold
4.3.2. Impede Arbitrage
4.3.2.1. Developing Countries
4.3.2.1.1. Capital Control
4.3.2.1.2. Taxes
4.3.3. Money Markets
4.3.3.1. Political Risk
5. Gide Investing in a Global Environment
5.1. Their fundamental value
5.1.1. Economic Analysis
5.1.2. Technical Analysis