Macroeconomics

The US government and the Federal Reserve is a great source for economic data.  The Federal Reserve site below will allow you to create graphs using data from the government.  Create a graph that includes a measure of money such as M1 or M2, consumer price index, unemployment rate and real gross domestic product over time. Put time on the horizontal axis of your graph and the other variables on the vertical axis.  Use monthly data that covers a time period of at least five years, with 2018 as the most current year.  

Save your graph as a picture and insert into a Word file (.docx) and answer the following questions. 

According to your chart,

· Was the growth in GDP increasing or decreasing when unemployment increased?

· Was the growth in GDP increasing or decreasing when the consumer price index increased?

· When GDP was falling, was the money supply increasing or decreasing?

· When the consumer price index was increasing was the money supply increasing or decreasing?

Given your knowledge of economic theory, explain your findings from above.

research.stlouisfed.org/fred2/

Once you enter the site above, look for the tabs about 1/3 of the way down the screen.  Look for the Need Help tab.  Click on it and then look for Graphs.  You will find tutorials on how to create and share the graph.  The easiest way to share the graph is to save it as a picture and insert it into the .doc or .docx documents you will be submitting as your assignment.  This is where you will find the tools and instructions you need.  There are links for the DATA and GRAPHS that will assist you in completing the assignment.