Table 28.4 shows the foreign exchange rate for the Australian dollar and the Australian and U.S. inflation rates. Using these data, plot the nominal and real exchange rates. Which was more volatile, the nominal or the real exchangerate?

Consumer Price Index: 1983 = 100 Foreign Exchange Rate, AS/USS Australia United States 1983 1.108 100 100 1984 1.137 104 104 1985 1.427 1.491 111 108 110 1986 121 1987 1.427 131 114 1988 1989 1.275 1.262 141 117 151 121 1990 1.280 163 125 1991 1.284 1.360 168 129 1992 169 132 1993 1.470 172 134 1994 1.287 175 138 1.342 1.255 1995 184 142 1996 189 146 1997 1.532 189 149 1.633 1.524 1998 191 158 1999 193 158 2000 1.799 202 163