Q1 if the impact of the us imposed on japan voluntary

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Q1. If the impact of the U.S. imposed on Japan "voluntary export restraint' of passenger cars to the U.S. from 2,000,000 units of 1991 to 1,600,000 units a year for the next 5 years will be a short term average price increase of 22.296%. What should Honda and Toyota do to manage this short term average price increase?

Q2. In the country of Labassecour, the velocxity of money is constant. Real GDP grows by 5% per year, the money stock grows by 14% per year, ant the nominal interest rate is 11%. What is the real interest rate?

Reference no: EM13354132

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