A marketing analyst on your team obtained the following historical economic data from the Federal Reserve Bank of St. Louis for use in your marketing environment analysis:
Month
Civilian Unemployment Rate
Real Personal Consumption Expenditures (Billions)
December 2011
8)5%
10372.1
June 2012
8)2%
10493.6
December 2012
7)9%
10602.4
June 2013
7)5%
10707.1
December 2013
6)7%
10844.3

Based on the data, which of the following statements about these economic forces in your marketing environment is true?
A)Our customers likely had less buying power in December 2012 than they had in December 2011.
B)The data suggests that our customers' buying power has been decreasing since before June 2012.
C)The data suggests that our customers' buying power did not start increasing until December 2012.
D)Our customers likely had more buying power in June 2013 compared to June 2012.
E)Our customers likely found it easier to find jobs in December 2011 than in December 2013.

Question

​A marketing analyst on your team obtained the following historical economic data from the Federal Reserve Bank of St. Louis for use in your marketing environment analysis:​ ​
Month
Civilian Unemployment Rate
Real Personal Consumption Expenditures (Billions)
December 2011
8)5%
10372.1
June 2012
8)2%
10493.6
December 2012
7)9%
10602.4
June 2013
7)5%
10707.1
December 2013
6)7%
10844.3
​
​Based on the data, which of the following statements about these economic forces in your marketing environment is true?
A)Our customers likely had less buying power in December 2012 than they had in December 2011.
B)The data suggests that our customers' buying power has been decreasing since before June 2012.
C)The data suggests that our customers' buying power did not start increasing until December 2012.
D)Our customers likely had more buying power in June 2013 compared to June 2012.
E)Our customers likely found it easier to find jobs in December 2011 than in December 2013.

Quizplus · Accepted Answer

The Real Personal Consumption Expenditures (RPCE) increased from December 2011 to June 2012 and continued to increase until December 2013, indicating that customers' buying power has been increasing. The Civilian Unemployment Rate decreased during the same period, meaning customers likely found it easier to find jobs. Therefore, our customers likely had more buying power in June 2013 compared to June 2012. Option A is incorrect because the RPCE increased from December 2011 to June 2012. Option B is incorrect as the RPCE increased consistently from December 2011 to December 2013. Option C is incorrect because the RPCE increased from June 2012 to December 2012. Option E is incorrect as the Civilian Unemployment Rate decreased from December 2011 to December 2013, indicating that customers likely found it easier to find jobs over time.

​A Marketing Analyst on Your Team Obtained the Following Historical

A Marketing Analyst on Your Team Obtained the Following Historical