Guided Response: Respond to at least two of your classmates by commenting on their posts. In your response, provide your own interpretation of their distribution graph. Note any differences between your classmate’s interpretation and your own.Respond in a substantive manner and provide information or concepts that they may not have considered.
Discussion #1 respond to this post below 100 words #1: PDF of Graph is attached
The author of this data is the Bureau of Economic Analysis (BEA) as a part of the U.S. Federal Government’s Department of Commerce. It controls the study and reporting of economic data used to authorize and forecast economic inclinations and commercial cycles. This is a credible source of information vetted by the United States, which derived its data from the Consumer Price Index, Economic Census, and Gross Domestic Product (GDP). The Personal Income graph shows month-to-month changes in 2020 that indicated an estimated personal income and expenditures and how the spread of COVID-19 has impacted it.
The federal economic recovery made payments to individuals in April as the government’s imposed a “stay-at-home” order. Subsequently, there is a considerable variation seen from April to May. According to BEA, in July, the Personal Income increased by 0.4 percent as Disposable Personal Income increased by 0.2 percent. Personal income increased in July because of employees’ payments as part of the economic recovery as it continued to reopen. Offsetting some of the increase were decreases in government benefits as well as unemployment claims.
My interpretation shows that the COVID-19 shutdown announcement significantly decreased personal income, as reported in March. The government’s immediate influx of economic stimulus raised income levels very high in April. The access to cash quickly regained consumer confidence, reflected in the continued increase in personal income in the following three months. Typically, one would expect to see a continued reduction of personal gain. Consumer income and spending continue to balance on the government discussion of additional stimulus, and as the county continued to reopen, there seems to be some stability. In the absence of the stimulus checks, in addition to the increase of unemployment insurance, there would not have been the fast recovery that began in the summer. Consumers have slowly but steadily increased their spending since the government delivered the stimulus checks in mid-April.
Discussion #2 respond to this post below 100 words #2: PDF 2020-manufacturing-day-qfr is attached
The US Department of Commerce Economics and Statistics Administration provides economic data to the Bureau of the Census. “The statistics from the census and surveys are collected and published primarily in terms of the establishments in an area” (Riche, Sparks, et al, 1995). Information that is published by the Census is highly credible. The census bureau employs quality control measures to minimize the inaccuracy of its data. The variables discussed in the graph below are derived from the income statements of different transportation manufacturers. As per the data in the line graph the quantitative variable are quarterly results for profits which are measured in US dollars. 2018 reveals a decline in the production of parts for transportation equipment and aerospace products and parts. “U.S. manufacturing industries more exposed to tariff increases experience relative reductions in employment as a positive effect from import protection is offset by larger negative effects from rising input costs and retaliatory tariffs” (Flaaen, Pierce, 2019). Since the fourth quarter of 2019, all industries faced a downward slope in profits due to increased cost of sales. The linear graph below helps users to understand how variable are associated (Sharpe, De Veaux, et al, 2019). It appears that transportation equipment earns the highest profits in the industry and has suffered the steepest decline in profits in 2020. My interpretation of the decline is due to the response to COVID-19. There have been many displaced workers because of new company policies to socially distance its workers. In the first quarter of 2020 many Americans were affected by the virus and the country was shut down.