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1.The Bank of Japan purchases Japanese yen in the foreign exchange market. a.In the graphs, show the shift in the supply and/or demand curves in

1.The Bank of Japan purchases Japanese yen in the foreign exchange market.

a.In the graphs, show the shift in the supply and/or demand curves in Japan's Credit Market and in the Exchange Market for the yen. Use inserted arrows to show the shift in the curves and changes to the X and Y-axis variables.

a.Does the yen appreciate or depreciate?

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Cost of Exchange credit Rate Price/'( S D Q of real credit/time ( RO) Elper of time

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