Here are annual data for the inflation and unemployment rates for the United States for the 1948-1961 period.

Year Unemployment Rate (%) Inflation Rate (%)

1948 - 3.8 | 3.0

1949 - 5.9 | 2.1

1950 - 5.3 | 5.9

1951 - 3.3 | 6.0

1952 - 3.0 | 0.8

1953 - 2.9 | 0.7

1954 - 5.5 | 0.7

1955 - 4.4 | 0.4

1956 - 4.1 | 3.0

1957 - 4.3 | 2.9

1958 - 6.8 | 1.8

1959 - 5.5 | 1.7

1960 - 5.5 | 1.4

1961 - 6.7 | 0.7

a. Plot these observations and connect the points.

b. How does this period compare to the decades that followed?

c. What do you think accounts for the difference?