(a) Run a regression of Real GDP on Inflation, Housing Price, Interest Rate, Unrate, LFPR, and

GovtEduc.

Year 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1995 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Real GDP 8510.990 8866.499 9192.134 9365.494 9355.355 9684.892 9951.503 10352.432 10630.321 11031.350 11521.938 12038.283 12610.491 13130.987 13262.079 13493.065 13879.129 14406.383 14912.509 15338.257 15626.030 15604.688 15208.834 15598.754 15840.664 16197.008 16495.370 16912.038 17403.843 17688.890 18108.082 18638.164 Inflation 3.664563217516910 4.077741107444080 4.827003030089490 5.397956439903220 4.234963964538530 3.028819678149700 2.951656966385540 2.607441592154600 2.805419688536550 2.931204199934400 2.337689937307410 1.552279098743620 2.188027196973580 3.376857271499350 2.826171118854020 1.586031626506030 2.270094973361130 2.677236693091730 3.392746845495470 3.225944100704070 2.852672481501360 3.839100296651010 -0.355546266299750 1.640043442389890 3.156841568622060 2.069337265260590 1.464832655627140 1.622222977408210 0.118627135552435 1.261583205705370 2.130110003659630 2.442583296928180 Housing Price 66.27558333333330 71.15150000000000 75.51358333333330 76.93683333333330 75.91991666666670 76.32750000000000 77.41616666666670 79.47533333333330 81.00616666666670 82.83058333333330 85.34325000000000 90.12608333333330 96.40075000000000 104.77675000000000 113.18658333333300 122.28808333333300 133.74275000000000 150.46625000000000 171.78266666666700 183.48591666666700 179.94816666666700 164.06675000000000 148.55608333333300 144.66283333333300 139.24008333333300 140.98800000000000 154.52450000000000 164.69400000000000 172.20225000000000 180.96525000000000 191.47050000000000 202.58750000000000 Interest Rate 5.78 6.67 8.11 7.49 5.38 3.43 3.00 4.25 5.49 5.01 5.06 4.78 4.64 5.82 3.39 1.60 1.01 1.37 3.15 4.73 4.35 1.37 0.15 0.14 0.05 0.09 0.06 0.03 0.05 0.32 0.93 1.94 UNRATE 6.2 5.5 5.3 5.6 6.9 7.5 6.9 6.1 5.6 5.4 4.9 4.5 4.2 4.0 4.7 5.8 6.0 5.5 5.1 4.6 4.6 5.8 9.3 9.6 8.9 8.1 7.4 6.2 5.3 4.9 4.3 3.9 LFPR 65.6 65.9 66.4 66.5 66.2 66.4 66.3 66.6 66.6 66.8 67.1 67.1 67.1 67.1 66.8 66.6 66.2 66.0 66.0 66.2 66.0 66.0 65.4 64.7 64.1 63.7 63.3 62.9 62.7 62.8 62.8 62.9 GovtEduc 215.429 231.023 253.079 274.888 291.248 308.521 325.963 342.261 362.405 378.472 398.296 424.270 452.571 487.914 525.802 545.057 565.550 596.950 627.411 663.078 708.127 749.532 777.316 813.238 821.745 828.477 860.947 883.586 907.763 929.517 956.221 989.044