Macroeconomics Current Events Analysis Portfolio
Recent Macroeconomic Performance, Unemployment and Inflation:
Hold down the Control key and click on each of the three underlined links: unemployment rate, real GDP charts, and Economagic.com. As each links opens, examine data and charts to answer the two questions in this assignment. Be precise and limit answers to number of lines stated for each question. In addition, you can use graphs to illustrate and strengthen your analysis. Apply your learning of employment (GDP) and inflation in principles of macroeconomics class to analyze the state of the US economy. Also, discuss how it did in recent years and where it is headed in future.
Studying 5th/6th edition text chapters 20/21, 21/22, 22/23, and 23/24 should provide the theoretical background for analysis of issues in this assignment.
Questions:
1. Use these graphs to determine the stage of the business cycle that the U.S. is currently experiencing. . Limit your response to 8 lines plus graphs.
2. The 2001 recession ended in November 2001, but the perception of "bad economic times" lingered into 2002 and 2003. What evidence do these graphs provide concerning the lingering perception of a recession? Hint: contrast the performance of the unemployment rate and the level of real GDP during the period from 2001 through 2003. Limit your response to 10 lines plus graphs.