Question
Between 2010Q4-2013Q1 the Australian dollar's value reached parity, and also exceeded parity against the USD. Using the data provided identify the reason(s) for the appreciation
Between 2010Q4-2013Q1 the Australian dollar's value reached parity, and also exceeded parity against the USD. Using the data provided identify the reason(s) for the appreciation of the AUD against the USD.Is this outcome consistent with PPP?
| Date | Exchange Rate | Real GDP Growth Rate (%) | Rates of Inflation (%) | Interest Rate (%) | |||
| AUD/USD | United States | Australia | United States | Australia | United States | Australia | |
| 3/29/2013 | 1.043 | 1.616% | 2.193% | 1.740% | 2.503% | 1.934% | 3.468% |
| 12/28/2012 | 1.038 | 1.566% | 2.835% | 1.904% | 2.102% | 1.693% | 3.105% |
| 9/28/2012 | 1.040 | 2.593% | 3.472% | 1.685% | 1.906% | 1.626% | 3.057% |
| 6/29/2012 | 1.025 | 2.374% | 4.237% | 1.888% | 1.208% | 1.806% | 3.358% |
| 3/30/2012 | 1.036 | 2.600% | 4.677% | 2.829% | 1.524% | 2.027% | 3.980% |
| 12/30/2011 | 1.025 | 1.523% | 3.439% | 3.345% | 2.990% | 2.036% | 4.101% |
| 9/30/2011 | 0.972 | 0.918% | 3.312% | 3.716% | 3.423% | 2.398% | 4.553% |
| 6/30/2011 | 1.071 | 1.738% | 2.640% | 3.346% | 3.653% | 3.189% | 5.326% |
| 3/30/2011 | 1.031 | 2.031% | 1.976% | 2.148% | 3.361% | 3.443% | 5.516% |
| 12/30/2010 | 1.012 | 2.788% | 2.761% | 1.230% | 2.646% | 2.848% | 5.337% |
| 9/30/2010 | 0.968 | 3.349% | 2.474% | 1.203% | 2.882% | 2.768% | 5.041% |
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American Political Economy In Global Perspective
Authors: Harold L Wilensky
1st Edition
1139227920, 9781139227926
