Macroeconomics + Economy 2009 Update 18th Edition by Campbell McConnell, Sean Masaki Flynn,Stanley Brue

Exercise 9

FEELING WEALTHIER; SPENDING MORE Access the Bureau of Economic Analysis Web site, www.bea.gov , interactively via the National Income and Product Account Tables. From Table 1.2 find the annual levels of real GDP and real consumption for 1996 and 1999. Did consumption increase more rapidly or less rapidly in percentage terms than real GDP At http://dowjones.com in sequence select Dow Jones Industrial Average, Index Data, and Historical Values to find the level of the DJI on June 1, 1996, and June 1, 1999. What was the percentage change in the DJI over that period How might that change help explain your findings about the growth of consumption versus real GDP between 1996 and 1999