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3 questions
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How does US inflation impact dollarized nations?
For instance, would a high inflation rate on the US have any impact on countries that use the US dollar as their only legal tender, eg Ecuador or El Salvador?
I often hear that high US inflation will ...
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3
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1
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Why imports increase if higher relative inflation?
I'm reviewing a previous AP Macroeconomics exam and I saw the following question:
The United States and South Korea are trading partners, and the United
States has a zero current account balance. ...
- 131
2
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1
answer
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How should I adjust data for both inflation and foreign exchange rate?
I’m not sure if this is typically done, but suppose my data point is in 2013 JPY and I want to express in 2016 USD. Do I apply CPI to express data in 2016 JPY, and then apply exchange rate to 2016 USD?...
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