Table 1.1	Nominal GDP Annual Growth Rate (%)	Nominal GDP Quarterly Growth Rate	Real GDP Annual	Real GDP Quarterly
(%)	Growth Rate	Growth Rate
	(%)	(%)
Mar-16	0.609	1.590	0.923	2.677
Mar-17	1.151	2.993	0.663	3.230
May-16	1.317	3.177	0.041	2.232
Jun-16	3.315	6.526	1.092	2.744
Jul-16	1.865	7.855	0.364	2.174
Aug-16	-0.053	6.571	0.617	2.128
Sep-16	1.245	6.495	0.918	3.023
Oct-16	0.628	3.725	0.435	2.354

Why does the real GDP growth rate differ from the nominal growth rate? Referring to the real GDP growth rate (quarterly and annual) that you reported in the above table, what can you say about the Australian economic outlook during the pre-, during and post-COVID-19 era? Where will you place the Australian economy on the business cycle for each of these periods?

	Australia (000s)	Tasmania (000s)
	Mar-23	Mar-24	Mar-23	Mar-24
Population	21657.1	22204.8	478.7	479.8
Labour Force	14435.5	14829.8	305.6	293.8
Not in the Labour Force	7221.6	7375	173.1	186
Employed	13943.8	14259.9	292.6	282.5
Unemployed	491.7	569.9	13	11.3
Labour Participation rate	66.7 %	66.8%	63.84%	61.23%
Unemployment rate	3.41 %	3.84%	4.25%	3.85%
Employment to Population ratio	64.38%	64.22%	61.12%	58.88%

1. Whymight Tasmania's participation rate be lower than Australia's?
2. Explain how the unemployment rate rose in Australia from March 2023 to March 2024 while the number of people employed and the labour force participation increased.

3. Explainhowthe unemployment rate fell in Tasmania from March 2023 to March 2024, even though the number of employed people fell