Long and short term prospects for a country currency


Question: There appears to be two schools of thought that have developed with respect to Mexico's currency. One school believes that the currency will decline against the U.S. dollar because as one executive put it, 'The U.S. economy has a history of outperforming the Mexican economy.' The other thought is that the Mexican dollar will be strong relative to the U.S. because "Mexico's economy is poised to perform better in the future," Use financial, economic, and regulatory data to make predictions regarding the long and short term prospects for a country's currency.

4 - 6 paragraphs.

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International Economics: Long and short term prospects for a country currency
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