MAT308 Structured External Assignment
Project Proposal
MAT308 Structured External Assignment
Kierra Alford
Research Question
Is there a statistically significant association between the Fed fund’s rate on inflation? This research aims at establishing whether the Fed fund’s rate significance influences the rate of inflation.
Rationale
I have always been interested in current government affairs and how the economy behaves as influenced by several factors. Inflation is one of the macroeconomic variables determining economic growth. A rise in the rate of inflation is also determined by a number of factors, including the Fed fund’s rate. In 2020, the United States reported an inflation rate of 1.23%, with the Fed fund’s rate of 0.08%.
Population
The United States inflation and Fed fund’s rate.
Variables
The variable of interest in this study will be the annual rate of inflation and the Fed fund’s rate.
Sampling
Non-probabilistic sampling: https://www.macrotrends.net/countries/USA/united-states/inflation-rate-cpi and https://www.macrotrends.net/2015/fed-funds-rate-historical-chart
Limitation
The sample selected for the study will be based on my judgment about the sample. Therefore, the study will be vulnerable to error due to the judgment made on the sample selected and somewhat biased.
Data Display
I will display the data using a scatter plot with inflation rate.
Method
Linear regression analysis
