1. Using the information from the NBER website, graphically determine and explain the following issues:
How the business cycle has been changing in recent decades.
If the overall length of cycles has been changing.
If recessions have been getting longer or shorter.
2. Find an article in a major business publication (for example, the Wall Street Journal, Barron’s, the Harvard Business Review, Forbes) that describes an event that may affect the U.S. price level and real GDP. Draw an initial set of AD and AS curves and determine which curve(s) will be affected and in which direction it will shift as a result of the AD/AS factors or policies. Predict what will happen to price level and real GDP and explain your answer.
