Exercise 13.2

 Real GDP (2010-2019) --- Current US$



Real GDP per capita (2010-2019) --- Current US$

https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?end=2019&locations=FR&start=2010 



Real GDP Growth (2010-2019) --- (annual %)

https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG?end=2019&locations=FR&start=2010 



Unemployment Rate (2010-2019) --- (% of total labor force)

https://data.worldbank.org/indicator/SL.UEM.TOTL.ZS?end=2019&locations=FR&start=2010 




Inflation Rate in Consumer Prices (2010-2019) --- (% annual)

https://data.worldbank.org/indicator/FP.CPI.TOTL.ZG?end=2019&locations=FR&start=2009  



Current Account Balance (2009-2019) --- (Current US$)





https://data.worldbank.org/indicator/BN.CAB.XOKA.CD?end=2019&locations=FR&start=2010 



Hidden Economy (2005-2015) --- (% of GDP)

https://www.theglobaleconomy.com/France/shadow_economy/ 



Observation Notes:
  • Real GDP and Real GDP per capita share a nearly identical trend line
  • GDP growth still occurred, even at highest unemployment rates
  • Hidden Economy percentage of GDP has remained rather consistent 
  • While France's current account balance has remained negative throughout the past ten years), there was significant growth in account balance from 2014-2015 (it became less negative). A negative current account balance means a country is a "net borrower" from the rest of the world and is importing more than it is exporting.
  • Long term trend in the Real GDP appears to be a gradual increase. In 2010, it was at 2.64 trillion US$, and in 2019, is slightly over 2.70 trillion US$.
  • I can identify a business cycle(s) based on the first graph of France's Real GDP. There are two main troughs (2012 and 2015) indicating a depression, and then peaks at 2011, 2014, 2018). 
  • Opposite statistic - 2014 to 2015 is a peak in account balance and 2014 - 2015 is sharp decline in GDP (recession). If they were exporting more, why did their GDP decrease? (Seminar question). There was also a peak of unemployment during these years, so maybe that contributed to the fall in GDP (?). 



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