Consider two countries, a and b, whose currencies are a and b, respectively. the interest rate in a is greater than the interest rate in b. which of the following is true according to the expected exchange rate movement relationship and interest rate parity, respectively?
a. a is expected to/appreciate relative to , and a trades with a forward discount.
b. a is expected to appreciate relative to b, and a trades with a forward premium.
c. a is expected to depreciatd relative to b, and a trades with a forward discount.
d. a is expected to depreciate relative to b, and a trades with a forward premium.
