Research Questions:
- How does U.S and China’s economic growth affect exchange rates?
- How does U.S and China’s inflation rate affect its currency?
- How has a trade deficit/surplus attributed to currency?
3
Methodology
Choose to compare U.S and China’s GDP, inflation and trade balance about its
exchange rate as these factors can affect currency value; hence, supporting my thesis.
The OECD supplied USD/CNY exchange rate data over 30 years (1989-2020), which will
will display as a line graph. Calculations include the exchange rate’s minimum,
maximum, standard deviation, mean from 1995-2005, and correlation coefficient to
GDP. Incorporate the exchange rate into China’s GDP bar graph, Inflation rate and
trade balance graph. Real GDP = (nominal GDP/deflator)100. Using a line graph, analyse U.S and China’s inflation rate and GDP. I will calculate the inflation rate from 1989-2020 of both countries using the consumer price index (CPI) as this reflects the rate of change in average household spending patterns: (CPIb – CPIa)/CPIa100.
Data corroborated from the WTO shows U.S and China’s imports/exports of
goods/services. To determine a country’s trade deficit or surplus: exports value minus
imports.
Type Of Service: Rewriting
Type Of Assignment: Coursework
Subject: Statistics
Pages / words: 6/1650
Number of sources: 0
Academic Level: High School
Paper formatting: MLA
Line Spacing: Double
Language style: US English
