Macroeconomic Aggregates
Describe the evolution of the share of the following components over GDP
for the period 1929-2021
• Personal consumption expenditures (C)
• Gross private domestic investment (I)
• Net exports of goods and services (X-M)
• Government consumption expenditures and gross investment (G)
Discus the evolution of the different components of consumption during the recent covid shock and the expected future evolution.
What are the key differences between the Consumer Price Index (CPI) and
the GDP deflator? And the differences between the CPI and the CPE?
Define Core CPI Inflation and discuss its use.
