Question: Using the information in Table 18.4 and an average U.S. inflation rate of 1.733% for the three-year period, determine the inflation rates of Europe (euro

Using the information in Table 18.4 and an average U.S. inflation rate of 1.733% for the three-year period, determine the inflation rates of Europe (euro currency countries) and Australia where the U.S. dollar strengthened over the period.

U.S. Dollar Exchange Rates for Major Currencies 2011 to 2014 Direct 2014 Table 18.4 Direct 2011 Indirect 2011 Indirect 2014 1.0167 1.0812 Australia 0.9249 0.9836 Britain 1.6228 0.6162 1.6750 0.5970 China 0.1555 0.1601 6.4311 6.2475 Euro 1.3601 0.7022 1.4241 0.7352 Japan 0.0098 102.418 0.0130 77.1550

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