Class Presentation

Shakeem Stewart

University of Technology

ECO1004: Elements of Economics

Teacher

March 22, 2021

Question 1

Using Jamaica, the following questions will be answered:

a)

i) List real GDP ($) figures for the past ten (10) years.

ii) Display above data on a well-labelled graph.

iii) Comment on the trend(s) using a paragraph.

b)

i) Provide growth rates of GDP over the past ten (10) years.

ii) Display above data on a well-labelled graph.

iii) Comment on the growth rates in a paragraph.

c)

i) Identify the name of the Central Bank.

ii) Who were the past two (2) governors of the Bank?

d)

i) Use a graph to display the exchange rates (in $US) over the past ten (10) years.

ii) Comment on the trend using a paragraph.

 Part a)
i)List real GDP ($) figures for the past ten (10) years.
Annual Observation Date Real GDP at Constant National Prices for Jamaica, Millions of 2017 U.S. Dollars
2009-01-01 22,999.62
2010-01-01 22,664.50
2011-01-01 23,056.67
2012-01-01 22,915.19
2013-01-01 23,033.82
2014-01-01 23,192.72
2015-01-01 23,406.44
2016-01-01 23,728.33
2017-01-01 23,964.93
2018-01-01 24,417.85
2019-01-01 24,635.72

ii)Display above data on a well-labelled graph.

Real GDP at Constant National Prices for Jamaica, Millions of 2017 U.S. Dollars
25,000.00
24,500.00
Millions of 2017 U.S. Dollars

24,000.00
23,500.00
23,000.00
22,500.00
22,000.00
21,500.00
1 1 1 1 1 1 1 1 1 1 1
-0 -0 -0 -0 -0 -0 -0 -0 -0 -0 -0
- 01 - 01 - 01 - 01 - 01 - 01 - 01 - 01 - 01 - 01 - 01
09 10 11 12 13 14 15 16 17 18 19
20 20 20 20 20 20 20 20 20 20 20

Annual Observation Date

iii) Comment on the trend(s) using a paragraph

The graph started 2009 with a steady decrease to 2010 where it was at its lowest for the ten-year
period at a value of $22,664.50 million U.S. Dollars. The value then steadily increased from
2010 to 2011 to a little less of 84.43 million U.S. Dollars of the 2009 starting value. Period 2011
to 2012 had decreases, however the economy picked up towards 2013 and had marginal
fluctuations straight through-out to 2019.  The highest value for the period was 2019 having
24,635.72 million U.S. Dollars, which would reflect a total increase of 7.1% from 2009 and
approximately 1% from 2018.It can therefore be said that for the ten-year period 2009 to
2019,the Jamaican economy is doing well.
Part b)
i)Provide growth rates of GDP over the past ten (10) years.
Year GDP Growth (%) Annual Change (%)
2009 -4.34
2010 -1.47 2.87
2011 1.73 3.20
2012 -0.61 -2.34
2013 0.50 1.12
2014 0.69 0.19
2015 0.92 0.23
2016 1.38 0.45
2017 1.00 -0.37
2018 1.94 0.94
2019 0.70 -1.24

ii)Display above data on a well-labelled graph.

Jamaica GDP Growth Rate 2009 - 2019

3.00
2.00
1.00
GDP Growth (%)

0.00
-1.00
-2.00
-3.00
-4.00
-5.00
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Year

iii) Comment on the growth rates in a paragraph

The graph started 2009 with a negative growth figure,  of -4.34 %, which was the lowest during
the period 2009 to 2019. It then steadily increases with a total 6.07% from then though to 2011,
where it had its highest growth recorded at 1.73%. The economy then decreases by -2.34%to
2012 and then marginally increased in 2013. Period 2013 through to 2019 saw small fluctuation
and it ended with a growth rate of 0.70%. It can therefore be concluded that period 2009 to 2010
a recession was in play and the Jamaican economy was recovering as it started to grow. The
country however had frequent fluctuations and although they might appear somewhat sustainable
as the changes were all in range the economy experienced very low growth rate over the period.
Part c)
i) Identify the name of the Central Bank.

The Bank of Jamaica is the name of the Central Bank in Jamaica

ii) Who were the past two (2) governors of the Bank?

Mr. Brian Wynter

November 2009 – August 2019

Mr. Derick Latibeaudiere

April 1996 – October 2009
 Part d)

i) Use a graph to display the exchange rates (in $US) over the past ten (10) years.

USD vs JMD EXCHANGE RATES

 (IN $US) OVER THE PAST TEN (10) YEARS
2010 TO 2020
$160.00
AVERAGE USD vs JMD (USD$1.00 =)

$140.00

$120.00

$100.00

$80.00

$60.00

$40.00

$20.00

$0.00
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

YEAR

ii) Comment on the trend using a paragraph.

From the graph for the period 2010 to 2020 in can be said that the exchange rate and the years
have a direct relationship as the rate is increasing with the years, except for 2010 to 2011. The
highest increase was from 2012 to 2013 where the USD increased by $12.09 from $88.80,
representing a 14% increase. The smallest increase for the period was 2017 to 2018 which was
only $1.36 USD more . From the graph for the period 2010 to 2020 it can be stated that the
Jamaican Dollars is devaluing and hence indicating that the Jamaican economy is weak and lack
substantial growth