Real-Time Data Analysis Exercise*

*Real-time data provided by Federal Reserve Economic Data (FRED), Federal Reserve Bank of Saint Louis.

Go to the St. Louis Federal Reserve FRED database, and find data on the exchange rate of U.S. dollars per British pound (DEXUSUK).

Click the following link to view the exchange rate of U.S. dollars per British pound data from FRED.

A mini Cooper can be purchased in London, England for 17,365 or in Boston, United States for $23,542.

Use the November 10, 2022 exchange rate available to calculate the real exchange rate of London minis per Boston mini.

According to the exchange rate for November 10, 2022, the real exchange rate is ______? London mini/Boston mini. (Round your response to three decimal places.)

Based on your answer, are mini Coopers relatively more expensive in London, or Boston?

Mini Coopers are relatively less expensive in _______?

In order for them to be equally expensive in each location, what would the price of a mini Cooper need to be, in British pounds, all else equal?

_______? for a London mini. (Round your response to the nearest pound.)