Real Economic Activity and Misery. Use the table containing economic, financial, and business indicators to answer the following questions. Calculate the country's Misery Index (unemployment + inflation) and then use it like an interest differential to forecast the future spot exchange rate, one year into the future. a. Japanese yen/U.S. dollar exchange rate in one year b. Japanese yen/Australian dollar exchange rate in one year c. Australian dollar/U.S. dollar exchange rate in one year The table below contains economic, financial, and business indicators from 2015: Forecasting the Pan-Pacific Pyramid: Australia, Japan, and the United States Industrial Unemployment Gross Domestic Product Production Rate Forecast Forecast Country Latest Qtr Qtr 2015e 2016e Recent Qtr Latest Australia 4.8 % 4.3 % 4.8 % 3.2 % 4.2 % 4.2 % Japan 1.9 % -1.3 % 2.6 % 2.2 % 4.5 % 3.9 % United States 2.3 % 3.7 % 2.6 % 2.4 % 2.5 % 4.8 % Consumer Prices Interest Rates Forecast 3-month 1-yr Govt Country Year Ago Latest 2015e Latest Latest Australia 4.6 % 2.5 % 2.1 % 6.88 % 6.21 % Japan 0.6 % -0.2 % 0.0 % 0.75 % 1.64 % United States 2.9 % 2.5 % 3.3 % 4.89 % 4.53 % Trade Balance Current Account Current Units (per US$) Last 12 mos Last 12 mos Forecast 15 Country (billion $) (billion $) (% of GDP) Oct 17th Year Ago Australia -13.4 -46.5 -5.8 % 1.12 1.31 Japan 98.8 197.7 4.4 % 118.00 119.00 United States -810.8 -793.4 -5.7 % 1.00 1.00 Note: Unless otherwise noted, percentages are percentage changes over one year. Rec Qtr = recent quarter. Values for 2015e are estimates or forecasts. Real Economic Activity and Misery. Use the table containing economic, financial, and business indicators to answer the following questions. Calculate the country's Misery Index (unemployment + inflation) and then use it like an interest differential to forecast the future spot exchange rate, one year into the future. a. Japanese yen/U.S. dollar exchange rate in one year b. Japanese yen/Australian dollar exchange rate in one year c. Australian dollar/U.S. dollar exchange rate in one year The table below contains economic, financial, and business indicators from 2015: Forecasting the Pan-Pacific Pyramid: Australia, Japan, and the United States Industrial Unemployment Gross Domestic Product Production Rate Forecast Forecast Country Latest Qtr Qtr 2015e 2016e Recent Qtr Latest Australia 4.8 % 4.3 % 4.8 % 3.2 % 4.2 % 4.2 % Japan 1.9 % -1.3 % 2.6 % 2.2 % 4.5 % 3.9 % United States 2.3 % 3.7 % 2.6 % 2.4 % 2.5 % 4.8 % Consumer Prices Interest Rates Forecast 3-month 1-yr Govt Country Year Ago Latest 2015e Latest Latest Australia 4.6 % 2.5 % 2.1 % 6.88 % 6.21 % Japan 0.6 % -0.2 % 0.0 % 0.75 % 1.64 % United States 2.9 % 2.5 % 3.3 % 4.89 % 4.53 % Trade Balance Current Account Current Units (per US$) Last 12 mos Last 12 mos Forecast 15 Country (billion $) (billion $) (% of GDP) Oct 17th Year Ago Australia -13.4 -46.5 -5.8 % 1.12 1.31 Japan 98.8 197.7 4.4 % 118.00 119.00 United States -810.8 -793.4 -5.7 % 1.00 1.00 Note: Unless otherwise noted, percentages are percentage changes over one year. Rec Qtr = recent quarter. Values for 2015e are estimates or forecasts