Assignment:
1. Define a business cycle.
2. ldentify (3) key economic variables that are used to characterize a business cycle.
3. Based upon the 3 key economic variables, what are the characteristics of a recession?
4. According to the NBER, when did Ow recessions of (198l-1982) and (2007-2009) begin and end?
5. What is the National Activity Index (NAI)
a. What does a positive index mean?
b. What does a negative index mean?
c. Explain how the NAI is used to determine a recession.
6. What is the yield curve?
a. Explain how the yield curve can be used to forecast a recession.
7. Compare and contrast the recession of 19811982. with the recession of 2007-2009 with a detailedm examination of the percentage change in Real. CD?, the unemployment rate and the inflation rate.
Compare and contrast the number of jobs created four years into the reeDN'ery phase of each recession,. Which recovery created more jobs?
INSTRUCTIONS:
1. Your paper must he typed using a double space format.
2. Type each question and then respond with your answer.
3. Your paper must have a table of contents.
4. You are required to use an MLA or APA bibliography and citation format.
5. Your project is due on or before January 29,2020.
6. Your grade will be reduced by ten (10) points for each day that it is past due. No excuses will be accepted to waive a grade reduction for projects that are submitted late. All projects must be submitted in a clear plastic folder. 1 will not accept any paper,. that are not in this
Format.