ABSTRACT

The first analysis tool utilized was a graphical analysis of the two principal variables, import prices and exchange rates. Plots were made of the import prices (unit values) of all 258 product/country combinations and of exchange rates for all 20 countries for the time span of the sample (in a few cases the series were plotted only for selected sub-periods because the series did not cover the entire time span or the unit values were so erratic that it was obvious the changes in price were driven by changes in the composition of imports). Graphs of the 20 exchange rate series were overlaid on the price graph for the appropriate product/country combinations for comparison purposes.