1: (28 marks) A.Why do countries engage in currency devaluation? B.On 22 September 2022, the Japanese yen fell to 145 per dollar, its lowest level in 24 years. Japan's central bank (BoJ) intervened in the FX market and pushed the yen back up to 142 per dollar, a rebound of 2.1%, within hours. How did the BoJ manage to push up the yen exchange rate so quickly? Explain all the possible intervention it could have done, not just what it actually did. C.What are the costs of a currency war? D.Say, when there is an increase in demand for European exports by the US, what happens to the euro-US dollar exchange rate, and why? According to your answer in part D. above, if the European Central Bank wants to keep the euro-US dollar exchange rate constant by direct intervention, what could it do and what would be the impact of such action on Europe's foreign exchange reserves