Answer to Question #50808 in Macroeconomics for Mary

Question

Use the data in the Table to answer the questions asked in 4a and 4b on each of the 3 variables for the US economy:

a. Calculate the changes in inflation rates, unemployment rates and the RGDP growth rates for the years from Year 2007 through 2014 and show them in a new column next to each of the values of the three variables (a template of the table is given below). 5 pts

Year Real GDP RGDP growth rate in % Unemployment Rate Change in U rate in % CPI Indices Inflation rate in %
2006 14,613.8 - 4.6% - 201.6 -
2007 14,873.7 ? 4.6% ? 207.3 ?
2008 14,830.4 ? 5.8% ? 215.3 ?
2009 14,418.7 ? 9.3% ? 214.53 ?
2010 14,783.8 ? 9.6% ? 218.05 ?
2011 15,020.6 ? 8.9% ? 224.93 ?
2012 15,369.2 ? 8.1% ? 229.59 ?
2013 15,710.3 ? 7.4% ? 232.96 ?
2014 16,089.8 6.2 236.74

Source: for CPI and U-Rate date: www.bls.gov
For RGDP data: www.bea.gov

b. Based on those calculations, briefly describe the overall economic performance over the last 8 years (2007-2014) and critically predict about these three macroeconomic variables for 2015-16.