# Question

The following time-series plot shows the annual unemployment and inﬂation rates for the years 1988 through 2010.

(a) Estimate the unemployment and inﬂation rates for 1992.

(b) Estimate the unemployment and inﬂation rates for 2009.

(c) The misery index is deﬁned as the sum of the unemployment rate and the inflation rate. Use your results from (a) and (b) to estimate the misery index for the years 1992 and

2009.

(d) Describe any relationship that might exist between the unemployment rate and inﬂation rate over the time period shown.

(a) Estimate the unemployment and inﬂation rates for 1992.

(b) Estimate the unemployment and inﬂation rates for 2009.

(c) The misery index is deﬁned as the sum of the unemployment rate and the inflation rate. Use your results from (a) and (b) to estimate the misery index for the years 1992 and

2009.

(d) Describe any relationship that might exist between the unemployment rate and inﬂation rate over the time period shown.

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