Answer to Question #100263 in Macroeconomics for LEE JUN HONG

Question

(ii) Find the following macroeconomics data on yearly basis covers the period from 2008 to
2018. Arrange these data in the same table and state the source of the data in Switzerland.
 Nominal GDP
 Real GDP
 Inflation rate
 Population
 Unemployment rate
Question
1. Draw a graph base on your data, discuss
(a) The performance of the inflation rate for the period of 2008-2018.
(b) The theoretical model of the inflation.

Answer 1

ii) All this data can be found here:

https://tradingeconomics.com/switzerland/

1. (a) The inflation rate was between -1.5% and 1.5%, and was near zero in the end of 2018.

(b) The market power theory of inflation represents one extreme end of inflation. According to this theory inflation exists even when there is no excess in demand. On the other end, the conventional demand-pull theorists believed that the only cause of inflation is the excess of aggregate demand over aggregate supply.