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To create the box follow these steps: Go to NIPA Table 1.1.6 in the Bureau of Economic Analysis website (bea.gov), and 'Modify' to download the
To create the box follow these steps: Go to NIPA Table 1.1.6 in the Bureau of Economic Analysis website (bea.gov), and 'Modify' to download the quarterly data for GDP, consumption, and investment for the period 1984:Q1 to latest available. In Excel copy lines 1 (GDP), 2 (Consumption), 7 (investment) and Paste Special 'Transpose' into columns. Go to HP-Filter web app https://dge.repec.org/cgi-bin/hpfilter.cgiLinks to an external site.. Apply the following criteria: Penalty Parameter 1600; Take logs YES; Return DEVIATIONS FROM TREND; Each data point separated by NEW LINE. Feed each of the series at a time into the field box and hit 'submit'. Copy the output next to the corresponding column of HP-GDP, HP-Consumption, and HP-Investment. Plot the three variables in the same graph for the entire sample period only [25 points]; then calculate the standard deviation of the cyclical components of GDP, consumption, and investment [25 points]. Compare the impact of COVID-19 on the three variables and summarize your findings [25 points], and explain in the context of the pandemic [25 points]. The end
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