On the accompanying graph, illustrate both the unemployment rate and the real GDP growth rate for each year. (The data required for this exercise are on the inside cover of this book.)

(a) In how many years was “full employment” achieved? (Use the current benchmark.)

(b) Unemployment and growth rates tend to move in opposite directions. Which appears to change direction first?

(c) In how many years does the unemployment rate increase even when output is expanding?