Question

Download GDP data for Canada from CANSIM for at least the last 30 years. Specify data characteristics: quarterly/annually, seasonally adjusted, and what measure of GDP you are using (income based/expenditure based). Prof. Emilia Barbu ECN 301 Winter 2018 2 Data can be downloaded as a CSV file. a) Draw a graph (use Excel) to show GDP over time. b) List and discuss GDP’s components. c) What year did Canada experience its last recession? What about the recession before the last one? d) What was the period of largest economic growth?

Answer 1

Answer:

The data of GDP downloaded from CANSIM is from year 1947 quarter 1 to 1997quarter 2. It is 30 years quarterly seasonally adjusted data. The GDP data as downloaded is estimated using income based approach.

a).

b). Following are the GDP components:

• Wages, salaries and supplementary labor income
• Corporation profits before taxes
• Interest and miscellaneous investment income
• Accrued net income of farm operators from farm production
• Net income of non-farm unincorporated business, including rent
• Inventory valuation adjustment
• Indirect taxes less subsidies
• Capital consumption allowances
• Statistical discrepancy

c). The last recession according to the data is from March 1990 to April 1992. The recission before this one was in year 1981, June which lasted for October 1982.

d). The period of largest growth was in year 1981.