How does the forecast for 2006 compare with the historical performance of the economy?

Percent Change = (New Value - Old Value) Old Value

Percent Change = (101 - 100)/100 = .01 or 1%

Inflation is Calculated as the Percent Change in the GDP Price Deflator

GDP Deflator = 100*(Nominal GDP)/(Real GDP) E.g. Deflator = 100*(4000)/(5000) = 80.0

The spreadsheet Future Security Bank, found on the course website, provides quarterly data for nominal and real GDP. Use this data set to compare the projected quarterly growth rates of the economy during 2006 with the average since 1990 (which measure of GDP do you want to use?). Does this explain why investors are concerned? Determine the rate of inflation expected for 2006. For this answer I need word explanation as well around 2 pages.

These are the links for case: https://www.csun.edu/sites/default/files/Future%20Security%20Bank%20-%20Case%20Text.pdf

For spreadsheet go to website and find the name which I wrote in parentheses: https://www.csun.edu/nazariancollegeadvisement/materials (Future Security Bank - Student Data Spreadsheet (.xlsx))