|How to Read This Graph|
|Notice what it says in the upper
left hand corner of the graph. This "Real GDP" bar graph is a graph of
"percent change" in real GDP, not real GDP itself. This is important!
The first two quarters of 1990, for example, shows a decrease in the rate of growth of real GDP, but not a decrease in real GDP.
The four phases of the business cycle are defined in terms of changes in GDP.
You can adjust these receipts for inflation by comparing any of them to any one year. For example, you could adjust all the later movies to 1977 numbers to match the original Star Wars movie. Or you could convert all of the earlier movies to 2002 numbers.