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Export and Import Analysis Exchange Rate

Show the effect of Dollar appreciation and depreciation with YEN on the price of U.S Exports and Imports by validating the following table.

Table 15.2 (Updated)
Effects of Dollar Appreciation and Depreciation on U.S Exports and Imports
R=Euro/$ Domestic Price Jan09: June 09: Effect on Exports (x) & Imports (M)
R=0.76 R=0.71

U.S exports $1000
U.S IMPORTS: Euro 25,000
European Cars
Jan 08: Jan 09:
R=0.68 R=0.76

U.S Exports $1000
U.S Imports: Yen 25,000
European Cars

Instead of using the Euro, we will be using the Yen.

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Solution Preview

There are three tabs in the attachment ("Yen", "Yen Exchange Rate" and "Original")

"Yen" is based on the information provided by the posting, which seems strange if only the currency symbol is changed from Euro ...

Solution Summary

This response provides analyses the effect of changing exchange rates on exports and imports