Gross Domestic Product

  • Describe the GDP and its components;
  • Collect data on the GDP components and use them as well as the GDP equation to measure GDP;
  • Graph GDP;
  • Describe the relationship between the GDP and each of its components.
  • Identifying business cycle and its primary phases.

Components of the project

This project includes three components:

  • Completion of a three-hour IBM Cognitive Class course on Big Data;
  • Creation/construction of a graph on the key macroeconomic indicators using FRED data; and
  • Drafting of a two-page analysis of the evaluation of components of the Gross Domestic Product.
  1. Completion and certification of the cognitive class on Big Data 101

Your assignment here is to complete successfully the three-hour cognitive course Big Data 101. To complete the course, open the link below and follow the instructions https://cognitiveclass.ai/courses/what-is-big-data

  • At the top right-hand corner of the screen click Sign-Up and create an account.  Be sure to use your First and Last name.
  • After signing up, log in to the Cognitive Class System.
  • After logging in, at the top right side of the screen, search the term “Big Data 101.”
  • Click the course labeled “Big Data 101.” (Red Image not the archived class)
  • Next click the blue button labeled “Enroll” to enroll in the course.

The completion of this course must be proved by the Certificate of Completion. Upon completing the course, download or screen shot your certificate and submit it through the assignment drop box on blackboard separately than your project write-up.

  1. Fred Graph

With the attached excel file, use the data components of GDP to evaluate the equation of GDP, that is:

Next, show a graphical representation of these variables and check that

Finally, identify and describe business cycle phases from GDP graph obtained previously.

  1. Written Report on the GDP

Draft a two-page report on the GDP behavior over the period 1999-01 to 2022 and describe business cycle over the same period. First, you should describe the steps taken to construct the  graphs. In your analysis, describe the business cycle present in the GDP data, that is, describe recession period (decrease in GDP of more than 6 month), expansion (increase in GDP), peak (the highest GDP during the expansion), and trough (lowest GDP during the recession).

Use the GDP equation and data on GDP components to evaluate the equation. Create different visualizations using each of the variables over the last decade (1999-2022) to show the relationship between GDP and each of its components. Which components seems to determine the behavior of the GDP? How can you identify unemployment or inflation from the GDP graph?

Next, determine the GDP share of consumption, GDP share of investment, GDP share of government spending, and GDP share of net exports. What GDP component has the largest share? What have you learned about measuring GDP from this assignment? Be sure to cite, using APA, any findings to back your argument and provide a bibliography.