This thesis consists of three separate papers. The first paper, “International Diversification and the Forward Premium” reproduces the slope of the uncovered interest rate parity (UIP) regression for ten country pairs within one standard deviation under rational expectations. We propose an...

Microeconomics of consumer theory -- Consumer analysis, firm analysis, fiscal policy, introduction to finance theory -- Static consumption-labor framework -- Dynamic consumption-savings framework -- Inflation and interest rates in the consumption-savings framework -- Dynamic consumption-labor...