Question: Refer to the data provided in Problem 4 to answer the following questions: a) Plot real GDP and the stock price index on the same
Refer to the data provided in Problem 4 to answer the following questions:
a) Plot real GDP and the stock price index on the same graph.
b) Plot the unemployment and inflation rates on the same graph.
c) Considering real GDP and the unemployment rate, when would you say that the economy reached its trough? Explain why.
d) Considering these four indicators, would you agree that it is possible to determine the business cycle by measuring changes in only one indicator?
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