Figure 9.7: Cyclical Unemployment: 1980-2012

question 21

Essay

Figure 9.7: Cyclical Unemployment: 1980-2012
(SOURCE: Federal Reserve Economic Data, St. Louis Federal Reserve)
-The figure above shows cyclical unemployment for the years 1980-2012. Using your best guess by looking at the figure, what was the output gap in 1992, 2003, and 2010? What is the change in inflation for those years?

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Definitions:

Mean

The arithmetic average of a set of values, found by dividing the sum of all values by the number of values.

Median

The midpoint in a set of values, such that 50% of the cases in a distribution fall below the median and 50% fall above it.

Mode

The most frequently occurring score in a distribution.

Skewness

A measure of the asymmetry of the probability distribution of a real-valued random variable about its mean, indicating whether the distribution is stretched more to the left or to the right.