ECN 202 – Spring 2022
Term Paper Instructions
Topic: Analysis of macroeconomic indicators.
Assignment: Define, describe, and analyze an economics indicator used in the field of macroeconomics.
Specifics:
1. Each of you has been randomly assigned an economics indicator. See spreadsheet on Brightspace, available January 31st. The reason for the random assignment is to eliminate giving anyone a deliberate unfair advantage based on your past classes or experiences. My hope is that you are completely unfamiliar with your assigned indicator. If you happen to be familiar with the indicator you have been assigned, lucky you.
2. A minimum 500 word paper (approx. 2 pages of words) due on Monday, May 2nd.
3. Charts and diagrams are an absolute must but do not count in the 500 words. Each part, A through F below, should be accompanied by charts and/or diagrams.
Specific specifics:
A. Begin by researching your indicator. Explain the history of the indicator in terms of who created it, when was it created, who is now responsible for maintaining it. Display a chart showing the historical data of the indicator up to the present.
B. Explain its relevance. What is it saying about the macro-economy? How is it correlated and how strongly is it correlated to the economy? Is it leading, lagging, or coincident and by what time frame? The answers to these questions may not be clear cut so any ambiguities should be explained.
C. What is the indicator currently saying about the macro-economy? About the recent past, about the present, and about the future?
D. How has the indicator been effected by Covid-19? Has it performed since 2020 as would have been predicted? (If you knew in 2019 that a global pandemic would occur in 2020, what would you have then predicted the indicator would do? Explain. Did it do what you would have predicted?)
E. How has the indicator been effected by government policies (fiscal and/or monetary)? Is the indicator correlated to those policies?
F. What is expected of the indicator over the next year?
G. Citations required.
Disclaimer:
Some parts of this assignment may seem vague and ambiguous upon first reading them. As we proceed with the class, terms like correlation, leading, lagging, coincident, fiscal, monetary will become clear. Before you begin writing anything you should start with understanding and familiarizing yourself with the indicator you have been assigned.
