1. Using the accompanying graph, measure the following: a) Expansions (in months from trough to peak) b) Contractions (in months from peak to trough) 2. Discuss the following statement: “Real GDP has...

1. Using the accompanying graph, measure the following:

a) Expansions (in months from trough to peak)

b) Contractions (in months from peak to trough)

2. Discuss the following statement: “Real GDP has decreased for two quarters in a row; we definitively are living through a contraction.”

3. Use the information given in the following table to answer the following questions.