
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Transcribed Image Text:11/17/21, 2:00 AM
Data Table
The table below contains economic, financial, and business indicators from 2015:
Forecasting the Pan-Pacific Pyramid: Australia, Japan, and the United States
Industrial
Unemployment
Gross Domestic Product
Production
Rate
Forecast
Forecast
Country
Latest Qtr
Qtr
2015e
2016e
Recent Qtr
Latest
Australia
4.1 %
3.7 %
4.8 %
3.3 %
4.5 %
4.5 %
Jаpan
2.3 %
-1.5 %
2.3 %
2.1 %
4.8 %
3.6 %
United States
2.2 %
3.7 %
2.3 %
2.6 %
2.3 %
4.6 %
Consumer Prices
Interest Rates
Forecast
3-month
1-yr Govt
Country
Year Ago
Latest
2015e
Latest
Latest
Australia
4.5 %
2.1 %
2.3 %
6.85 %
6.28 %
Japan
0.8 %
-0.4 %
0.0 %
0.69 %
1.65 %
United States
2.9 %
2.8 %
2.9 %
4.74 %
4.54 %
Trade
Balance
Current Account
Current Units (per US$)
Last 12 moS
Last 12 mos
Forecast 15
Country
(billion $)
(billion $)
(% of GDP)
Oct 17th
Year Ago
Australia
-12.9
-46.5
-5.6 %
1.11
1.37
Japan
98.6
197.9
4.4 %
115.00
121.00
United States
-810.7
-793.9
-5.6 %
1.00
1.00
Note: Unless otherwise noted, percentages are percentage changes over one year. Rec Qtr = recent quarter. Values for 2015e
are estimates or forecasts.
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Transcribed Image Text:Purchasing Power Parity Forecasts. Use the table
Assuming purchasing power parity, and assuming that the forecasted change in consumer prices is a good proxy of predicted inflation, forecast the following
exchange rates:
a. Japanese yen/U.S. dollar in one year
b. Japanese yen/Australian dollar in one year
c. Australian dollar/U.S. dollar in one year
|containing economic, financial, and business indicators to answer the following questions.
Assuming purchasing power parity, and assuming that the forecasted change in consumer prices is a good proxy of predicted inflation, forecast the following
exchange rates:
a. Japanese yen/U.S. dollar in one year
The forecast of the spot rate for Japanese yen/U.S. dollar in one year is Y/s. (Round to two decimal places.)
b. Japanese yen/Australian dollar in one year
The forecast of the cross rate for Japanese yen/Australian dollar in one year is ¥A$. (Round to two decimal places.)
c. Australian dollar/U.S. dollar in one year
The forecast of the spot rate for Australian dollar/U.S. dollar in one year is A$ $. (Round to four decimal places.)
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