Toyota Motor corporation has appointed you as an economic advisor. You are requested to compile a report regarding the macroeconomic environment in China and United States where the firm operates and explain how it might affect the company’s economic activity.
B. Project specifications
1. Your report must include:
a. A brief description of the company and the product/market it operates in for both countries.
b. An analysis of the market structure in which the company operates for the two countries.
c. A comparative analysis of all major macroeconomic indicators i.e; GDP growth rate, GDP per capita at constant prices, Inflation rate (CPI), Unemployment rate (ILO measure), General government balances (% of GDP), Balance of Payments (% of GDP) for the two countries and their overall impact on firm’s economic activity.
d. An analysis of the monetary and fiscal policy (instruments) for the two countries and their impact on the firm’s economic activity. You must include here an analysis of the interest rates i.e; Interest rate (Monetary Policy Rate)
e. An analysis of the foreign trade policy instruments (international trade agreements) for the two countries and their impact on firm’s economic activity. You should include here an analysis of the exchange rates i.e; Exchange rates (National Currency/USD OR National Currency/Euro)
1 We recommend that you use the IMF database to collect your data for most of these macroeconomic indicators.
2 Data available from the relevant Central Banks websites 3 ibid With references
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