35 30 25 20 15 10 5 Cumulative Contribution of Personal Consumption Expenditures on Durable Goods...

 

Transcribed Image Text:

35 30 25 20 15 10 5 Cumulative Contribution of Personal Consumption Expenditures on Durable Goods to Real GDP Growth ("Cars") A red line segment indicates a contraction in Cars. A gray column indicates recession. 0 1947 1952 1957 1962 1967 1972 1977 1982 1987 1992 1997 2002 2007 2012 2017 2022 There are 12 recessions in the picture. How many of those recessions do you think were predicted by a contraction in Cars? How many false negatives (FNs) do you think there were? What is Cars currently predicting? a. Economic growth b. Recession C. Cars is not clearly predicting growth or recession. 35 30 25 20 15 10 5 Cumulative Contribution of Personal Consumption Expenditures on Durable Goods to Real GDP Growth ("Cars") A red line segment indicates a contraction in Cars. A gray column indicates recession. 0 1947 1952 1957 1962 1967 1972 1977 1982 1987 1992 1997 2002 2007 2012 2017 2022 There are 12 recessions in the picture. How many of those recessions do you think were predicted by a contraction in Cars? How many false negatives (FNs) do you think there were? What is Cars currently predicting? a. Economic growth b. Recession C. Cars is not clearly predicting growth or recession.