Question: i need help with this project Purchasing Power Parity Theory and Forecasting exchange rates Suppose you are working in investment company specializes in investing in

i need help with this project

Purchasing Power Parity Theory and Forecasting exchange rates Suppose you are working in investment company specializes in investing in emerging stock markets of the world and is currently interested in one of stock markets. He/she would like to understand what drives the exchange rates and thinks that the purchasing power parity may be holding at least to some extent. As a research assistant for him, you were assigned to check this out. In other words, you have to study the impact of inflation on exchange rate and prepare a summary report on the following question: Does the purchasing power parity hold for the Domestic Currency-U.S. dollar exchange rate? Data_Extract_From_World_Develop... Series - Metadata BIR R Official exchange rate (LCU per USS, Inflation, consumer prices (atual %) PANUS.FCRF FPCPL TOTL.ZG % exchange of E 2134471719 0.476199999 0.476189999 4.258098223 0.476189999 3.25752499 0.47619999 4.1941276390 LA29127 0.47 0474762 -0.002926798 -0.076240074 -0.08845584 041459773 0.399630307 -0.01223706 0394739999 0.0019253179 0.395499999 0.0002507375 0.395599166 0.0001284971 0.395649999 -0.020716964 0387453332 -0.015062028 0381617409 -0.012099195 0377000235 -0.00253143 0375000 0.375999999 0.375999999 0.0000000016 0.376 00000000011 0.376 0.376 0.376 0.376 0.376 0.376 0.376 63%6 -0.000000029 -0.000000064 0.375 0.375965 00000000155 0.375099971 -0.000000009 0.375999 -0.000000007 0.375999 -0.000000007 037599962 00000000443 0375979 00000000554 0.376 0.3% 0.3% 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.3% 0.3% 0.3% 0.376 0.3% Data Country Code Series Name Series Code 1960 [YRI960) 1961 [YRI961 1962 [YR1962] 1963 [VR1963) 1964 [YRI964) 1965 [YRI965] 1966 [VR1966) 1967 (YRI967) 1968 (YRI968) 1969 [YRI969) 1970 [YR1970 1971 [VR1971) 1972 [VR1972) 1973 [YR1973) 1974 [YR1974) 1975 [VR1975) 1976 [YR1976) 1977VR1977) 1978 (YR1978) 1979 [VR1979 1990 [YR1980) 1981 [YRI981) 1982 [VR1982) 1983 (VR1983) 1984 (VR1984) 1985 [YR1985) 1986 [VR1986) 1987 [VR1987) 1988 [YR1988) 1989 [VR1989) 1990 [YRI990 1991 [YR1991) 1992 [YRI992) 1993 [YR1993] 1994 (VR1994) 1995 (VR1995) 1996 (VRI996) 1997 (1997) 1998 (YR1998) 1999 [YR1999) 2000 (VR2000) 2001 YR2001) 2002 [VR2002) 2003 [YR2003) 2004 [YR2004) 2005 [YR2005] 2006 [VR2006) 2007 [VR2007) 2008 [VR2008] 2009 [VR2009) 2010 [YR2010) 2011 [VR2011] 2012 [VR2012) 2013 [VR2013) 2014 [YR2014) 2015 [YR2015) 2016 (YR2016) 2017 (YR.2017] 2018 (VR2018) 2019 [YR2019) 2020 [VR2020 2021 (VR2021) SPECIALS 5001953 14330269 243293 16.197212 22.457458 17.73112009 15.7553799 2.20599951 3309525059 113449 KANSTEMONS 2.972399151 032239925 -263504303 22003214 -1.745001754 6.303435966 140597322 0.929335437 6764419736 4.172413793 POLOWREST MARTED 270434751 445222733 243155134 4.366533865 -1.287587672 4704852953 -120757102 495540130 1393625498 2352041176 2.56207 2007 3.256666667 3526003164 2.79551236 1.968443 4400040497 3.300011569 2647553212 1848627424 2786793476 1386718306 2074438 100520047 2.317706299 4.406319365 EMELSEE Purchasing Power Parity Theory and Forecasting exchange rates Suppose you are working in investment company specializes in investing in emerging stock markets of the world and is currently interested in one of stock markets. He/she would like to understand what drives the exchange rates and thinks that the purchasing power parity may be holding at least to some extent. As a research assistant for him, you were assigned to check this out. In other words, you have to study the impact of inflation on exchange rate and prepare a summary report on the following question: Does the purchasing power parity hold for the Domestic Currency-U.S. dollar exchange rate? Data_Extract_From_World_Develop... Series - Metadata BIR R Official exchange rate (LCU per USS, Inflation, consumer prices (atual %) PANUS.FCRF FPCPL TOTL.ZG % exchange of E 2134471719 0.476199999 0.476189999 4.258098223 0.476189999 3.25752499 0.47619999 4.1941276390 LA29127 0.47 0474762 -0.002926798 -0.076240074 -0.08845584 041459773 0.399630307 -0.01223706 0394739999 0.0019253179 0.395499999 0.0002507375 0.395599166 0.0001284971 0.395649999 -0.020716964 0387453332 -0.015062028 0381617409 -0.012099195 0377000235 -0.00253143 0375000 0.375999999 0.375999999 0.0000000016 0.376 00000000011 0.376 0.376 0.376 0.376 0.376 0.376 0.376 63%6 -0.000000029 -0.000000064 0.375 0.375965 00000000155 0.375099971 -0.000000009 0.375999 -0.000000007 0.375999 -0.000000007 037599962 00000000443 0375979 00000000554 0.376 0.3% 0.3% 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.376 0.3% 0.3% 0.3% 0.376 0.3% Data Country Code Series Name Series Code 1960 [YRI960) 1961 [YRI961 1962 [YR1962] 1963 [VR1963) 1964 [YRI964) 1965 [YRI965] 1966 [VR1966) 1967 (YRI967) 1968 (YRI968) 1969 [YRI969) 1970 [YR1970 1971 [VR1971) 1972 [VR1972) 1973 [YR1973) 1974 [YR1974) 1975 [VR1975) 1976 [YR1976) 1977VR1977) 1978 (YR1978) 1979 [VR1979 1990 [YR1980) 1981 [YRI981) 1982 [VR1982) 1983 (VR1983) 1984 (VR1984) 1985 [YR1985) 1986 [VR1986) 1987 [VR1987) 1988 [YR1988) 1989 [VR1989) 1990 [YRI990 1991 [YR1991) 1992 [YRI992) 1993 [YR1993] 1994 (VR1994) 1995 (VR1995) 1996 (VRI996) 1997 (1997) 1998 (YR1998) 1999 [YR1999) 2000 (VR2000) 2001 YR2001) 2002 [VR2002) 2003 [YR2003) 2004 [YR2004) 2005 [YR2005] 2006 [VR2006) 2007 [VR2007) 2008 [VR2008] 2009 [VR2009) 2010 [YR2010) 2011 [VR2011] 2012 [VR2012) 2013 [VR2013) 2014 [YR2014) 2015 [YR2015) 2016 (YR2016) 2017 (YR.2017] 2018 (VR2018) 2019 [YR2019) 2020 [VR2020 2021 (VR2021) SPECIALS 5001953 14330269 243293 16.197212 22.457458 17.73112009 15.7553799 2.20599951 3309525059 113449 KANSTEMONS 2.972399151 032239925 -263504303 22003214 -1.745001754 6.303435966 140597322 0.929335437 6764419736 4.172413793 POLOWREST MARTED 270434751 445222733 243155134 4.366533865 -1.287587672 4704852953 -120757102 495540130 1393625498 2352041176 2.56207 2007 3.256666667 3526003164 2.79551236 1.968443 4400040497 3.300011569 2647553212 1848627424 2786793476 1386718306 2074438 100520047 2.317706299 4.406319365 EMELSEE

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