1. Fig. 1 U.S. Real Gross Domestic Product, 1929-2002 Real GDP (Billions of 1998 dollars) 1000 2000 3000 4000 5000 6000 7000 8000 9000 1950196019401930197019902000 2002

2. Fig. 2 The U.S. Unemployment Rate Unemployment Rate (Percent) 25 19501960194019301970198019902000 20 15 10 5 200 3 0 1920

3. Time Real GDP ExpansionRecessionExpansion Long-run upward trend of real GDP The business cycle fluctuation of actual output around its long-run trend. Fig. 3 The Business Cycle

4. Fig. 4 U.S. Annual Inflation Rate, 1922-2003 Inflation Rate (Percent) 0 -5 -10 5 15 2000194019501960197019801990 10 19302003