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Discussing with the analyst that prepared table 2, you realized that the following information was not adequately considered: See tables 2 ,3 and 4 below.

  1. Discussing with the analyst that prepared table 2, you realized that the following information was not adequately considered: See tables 2 ,3 and 4 below.

How do you think this additional information (table 3) can modify the estimated probabilities in table 2 on depreciation value of the currency of each country vis a vis the USD. The depreciation values for country 1 is 8.03% and for Country 2 it is 7.4% (Already calculated these rates). Provide educated probabilities based on the impact of these variables in the expected behavior of governments (monetary policies) when facing dollarized economies. Probabilities should be entered for country 1 in C1 column and for country 2 in C2 column in table 4.

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