Posted: September 17th, 2017



1) To be able to collect relevant macroeconomic data.
2) To convert the data into a meaningful economic concept.
3) To appreciate the importance of the consumption function in explaining economic fluctuations
1) Collect quarterly figures for five years on the annual inflation rate and the unemployment rate. Tabulate the figures. (5 marks)
2) Produce a scatter diagram of the inflation rate/unemployment rate pairs. (5 marks)
3) Produce a line of best fit from your scatter diagram and construct a Phillips Curve. (5 marks)
4) Explain the policy implications to a government of the Phillips Curve relationship. (5 marks)
Need a correctly labelled diagram. References required.
Failure to submit prior to the deadline of 17 July at 5.00pm means your work will not be marked.

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