The chapter notes that Kenneth Rogoff proclaimed Richard Nixon the all-time hero of political business cycles. Using

The chapter notes that Kenneth Rogoff proclaimed Richard Nixon €œthe all-time hero of political business cycles.€ Using the following table of data from the Economic Report of the President, explain why Nixon may have earned that title. Nixon entered office in January 1969 and was reelected in November 1972. He resigned in August 1974.)

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Government budget balance (billions of dollars) Government receipts (billions of dollars) Government spending (billions of dollars) 3-month M1 growth M2 growth Treasury bill rate Year $186.9 1969 $3.2 -2.8 $183.6 3.3% 3.7% 6.68% 1970 5.1 192.8 6.6 6.46 195.6 187.1 6.5 210.2 13.4 4.35 -23.0 1971 230.7 1972 4.07 207.3 -23.4 9.2 13.0 1973 230.8 -14.9 5.5 6.6 245.7 7.04