For Exercise 1.15, see page 9; for 1.16 and 1.17, see page 10, for 1.18 and 1.19, see pages 11-12; for 1.20 and 1.21, see page 15; for 1.22 and 1.23, see page 19; and for 1.24, see page 20.

Question 1.24

1.24 What does the time plot show?

CASE 1.1 Carefully examine the time plot in Figure 1.12.

  1. How do the T-bill interest rates vary over time?
  2. What can you say about the relationship between the rates and the recession periods?