The Table Shows the Percentage Difference Between Real and Potential

question 68

Essay

The table shows the percentage difference between real and potential GDP and the rate of inflation for the years 2006 through 2015. If there was a presidential election in the year 2007, would these data support the view that there was a political business cycle during this period?
$\begin{array}{|c|c|c|}\hline \text { Year } & \begin{array}{c}\text { Percentage Difference } \\\text { Between Realand } \\\text { Potential GDP }\end{array} & \text { Inflation Rate } \\\hline 2006 & 0.3 \% & 3.2 \% \\\hline 2007 & 0.2 \% & 2.9 \% \\\hline 2008 & -1.8 \% & 3.8 \% \\\hline 2009 & -6.2 \% & -0.3 \% \\\hline 2010 & -4.6 \% & 1.6 \% \\\hline 2011 & -4.0 \% & 3.1 \% \\\hline 2012 & -3.0 \% & 2.1 \% \\\hline 2013 & -2.9 \% & 1.5 \% \\\hline 2014 & -2.1 \% & 1.6 \% \\\hline 2015 & -1.2 \% & 0.1 \% \\\hline\end{array}$

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Definitions:

Pseudolistening

The act of appearing to listen without actually paying attention or comprehending the message being communicated.

Barriers to Effective Communication

Factors that impede the transfer or understanding of information among parties.

Constructive Confrontation

is a method of addressing conflicts in a positive way, aiming to find solutions through open dialogue and mutual respect.

Communication Barrier

Any obstacle that impedes the exchange of information between individuals or groups.