(3) [22 points] "The Plaza Accord was a joint-agreement, signed on 22 September 1985, at the Plaza Hotel in New York City, between France, West Germany, Japan, the United States, and the United Kingdom, to depreciate the U.S. dollar in relation to the Japanese yen and German Deutsche mark by intervening in currency markets. The U.S. dollar depreciated significantly from the time of the agreement." (a) [10 points] Plot the monthly nominal exchange rate from January 1980 to December 1987 for U.S. 8 per Japanese yen (8/Y) and U.S. 8 per U.K. pound (8/C), and explain the effects of the Plaza accord on the nominal exchange rates and the U.S. trade balance. For data to use in this question, you may go to the Federal Reserve Bank of St. Louis FRED database. (b) [12 points] Choose a relevant economic model to illustrate graphically the changes in nominal exchange rate (e) and U.S. national income (Y) in the 19804