The 2.7 increase in 2006 slowly declined to a -2.6% change in 2009 and 2.9% increase in 2010.Up until 2009 the rates seemed to slowly decline and in 2010 they began to rise again. Some factors in causing the GDP to decline could be the war in Afghanistan and Iraq, gas prices soaring in 2008. Then with the economic situation in 2009 more people, that is the ones that have jobs were holding onto …show more content…
On average, based on these figures, it seems the percent change will increase for two quarters then the amount of increase will decline over the next two quarters. Then they repeat. Not really surprised by theses numbers. The fourth quarter is high due to the holidays. Then with the first quarter consumers using their gift card to purchase items. While using their gift cards we are taking advantage of the sales the retailers are offering and making other purchases as well. Consumption (C): The numbers vary from a high of 2.0 to a low of 0.9. During this time frame, good and nondurable were having the biggest impact. Investment (I): The numbers from 2009 Q3 through 2010 Q1 indicate growth from 11.8 to 29.1. The figures for 2010 Q2 – Q4 showed a severe decline from 26.2 to -18.7 indicating our unstable market. Government Purchases (G): During the entire period in question, these numbers vary from a low of -1.6 to a high of 3.9. I think the changes on defence spending goes along with the troop surge in Afghanistan and with the withdraw of troops in Iraq. It also shows where the states were making cuts due to the