economic graph using excel

piper gilbert wright

C24495304
17/10/2024

Economic graphs using Excel

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Piper gilbert wright C24495304

Table of contents

Type in the headings..............................................................................................3

Basic instructions....................................................................................................... 5
Calculation of Statistics using Excel...........................................................................5
Making text fit into one cell in a spreadsheet..........................................................5
Statistical functions available in Excel....................................................................5

Type in the headings..............................................................................................3

Basic instructions....................................................................................................... 5
Calculation of Statistics using Excel...........................................................................5
Making text fit into one cell in a spreadsheet..........................................................5
Statistical functions available in Excel....................................................................5
Bibliography………………………………………………………………………………….

Demand shift

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data

Quantity Shift in demand Price Supply

10

40

90

10

20 50 87 16

30 60 83 22

40 70 78 28

50 80 72 34

60 90 65 40

70 100 57 46

80 110 48 52

90 120 37 58

100 130 23 64

110 140 5 70

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The Chart Wizard icon on the toolbar looks like a bar chart and appears towards the left-
hand side of the standard toolbar. If any toolbar is not visible it may be found under the
View menu and from there under toolbars.

When you click on the Chart Wizard icon, a dialogue box appears. This gives us many
choices of types of graph and within each type the form the graph will take. In this case we
want a XY (scatter) graph. In this category you have the option of just displaying the dots,
lines with dots, lines only and smoothed lines only. In our case we want a scatter graph
with smooth lines and no dots.

Type in the headings

Change in demand function for the title, Price for the y-axis and quantity for the x-axis.
Include the graph as part of the current sheet.

The data for the shift in demand should be on the x-axis, as this will enable us to “shift” the
demand curve to the right. Excel assumes, unless you tell it otherwise, that the data in the
first column goes on the x-axis and everything afterwards goes on the y-axis. If you click
the shift in demand data on the graph you can delete it by pressing “delete” on the
keyboard. It disappears from the graph.

The words “Shift in demand” are all in one cell on top of each other: click on the cell and
choose Format cells, alignment tab and wrap text.

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Highlight the shift & demand data & drag it (with an arrow from the edge of the highlighted
area) onto the graph. A dialogue box appears and choose new series, data in columns and
x-axis data in first column and click OK.

To change the legend entry you right click with the mouse in the chart area & choose
source data. A dialogue box appears and choose series name and click in the box on the
spreadsheet that says Shift in demand and click Ok.

Enter the supply data and drag it (including the heading) onto the graph. Your graph should
look something like this:

Change in demand function

100

80
Demand
Price

60
Supply
40 Shift in demand

20

0
0 20 40 60 80 100 120 140 160

Quantity

This graph can be transported into Excel by clicking on the boundary of this box (a series of
black dots should appear at the edges) and you can copy the graph (a dotted line should
appear around the border - a flashing marquee). Run Word in the usual way (without
closing down Excel) and paste the graph into the file wherever you click inside the file with
the cursor.

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Basic instructions

1. Enter the data as shown.

2. Draw all the data on a graph: XY graph with smoothed lines.
3. Delete the shift in demand line from the graph.
4. Highlight the data for shift in demand & demand and drag it onto the graph. Tick on first
column as x-axis data & press OK.
5. Change the title of the third line of data to shift in demand
6. Copy the graph in Excel, run Word and paste it into your file in Word, either as an
embedded link or just as a copy of the graph.

Calculation of Statistics using Excel

Run Excel in the usual way: Start - Excel. Naming, moving & inserting
sheets. Note the presence of three sheets at the bottom of the page: these can be used
to separate data from each other but keep them as part of the same file. They can be
renamed by double clicking on the name of the sheet and typing in whatever title you want
yourself. You can also change the order in which they are by dragging the name of the
sheet to another position. Additional sheets may be added by using Worksheet from the
Insert menu.

Making text fit into one cell in a spreadsheet

There are two ways of doing this. The words may appear on top of each other inside the
same cell or the text may be reduced so that it all fits into the cell. These options are
available in the format cells dialogue box under the alignment tab. The options are wrap
text and shrink to fit, one of which can be clicked depending on what you want. This
ensures that the data remains in the cell but makes the necessary adjustments to the text
or the cell.

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Statistical functions available in Excel

All functions in Excel must start with an equals sign (=). From this point onwards I will
assume that this is understood & probably neglect it all the time.

Random data may be generated using the rand function in Excel. This generates a random
number to nine decimal places (space permitting). rand() uses the automatic recalculation
facility ie when any data is typed into the sheet, this function will enter a new value. To
demonstrate this, you should enter a full column of random numbers in column A for a
start. Entering the function in cell A2 (with a label in A1) and copying it the rest of the way
down the column can do this. You will have noticed them change every time anything
happened in the spreadsheet. Next we want to generate random whole numbers between
any two points. I will choose 30 and 60. We want these numbers first as numbers and
decimal places & then rounded to the nearest whole number. To get the first numbers you
should multiply the entries in the first column by 30 and add 30. To round these numbers,
we can use the round(number,places) function which has two arguments ie values that it
accepts the first one being the number or the cell reference of the number and the second
being the number of decimal places, naturally separated by a comma. These functions are
available in the function wizard on the standard toolbar in Excel. However, the rand
function is under maths and trig while all other functions I will speak about are under
statistical functions. You should now have entered the data into columns B & C with
decimals and rounded respectively. In order to demonstrate this situation clearly, we will
now calculate the mean of the numbers. Below the column with the rounded data,
calculate the mean for the data. This should be known as mean but is actually called
average in excel. To demonstrate how different the answer can be, type down a few values
of the mean that appear and note the changes that take place every time you type. You
may also calculate the standard deviation (stdev from the function wizard) using the
function wizard and place this value under the mean. These should be labelled, as they
may not appear to be obvious at first sight. The column should also be widened or you can
wrap the text in the box as mentioned above if necessary to ensure that all words can be
seen in the cells. However, it is important to note that the data that were rounded are not
whole numbers but just appear that way for our convenience. If you want to get these
numbers actually as whole numbers, then the following is a simple procedure: Copy the
numbers that are rounded by highlighting them all, put the cursor at the top of the next
column & choose Edit & Paste Special. A dialogue box appears and one of the options is
values, meaning that you can just take the values and have them with no decimal places.
When you click OK, the numbers appear. You can now put them in order by clicking the AZ
icon on the toolbar. You can find the median now by searching for the value in the middle
and the mode is the value that occurs most frequently, if any value does.

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If you have time at the end of the class, group the data you have generated into classes and
calculate the mean, median and mode of the grouped data. It is highly unlikely that you
will get the same answer as you got with the unclassified, raw data.

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The creation of wealth is an economic necessity. An understanding of economics and how

they operate in this connected world is useful. A useful source is (DE & JK, 2010). Many
problems have been solved using economic methods including (JK & SO, 2018). Some
interesting economic graphs appear on this website (AM & AS, 2014

Source Details

DE & JK, 2010 Authors :David Easley and Jon Kleinberg

(Book) Title: Networks, crowds, and markets : reasoning about a highly

connected world

Publisher: Cambridge University Press

City: New York

Year: 2010

JK & SO, 2018 Authors: Jon Kleinberg and Sigal Oren

(Journal article) Title: Time-Inconsistent Planning: A Computational Problem in

Behavioral Economics

Journal: Communications of the ACM

Date: March 2018

Pages: 99-107

AM & AS, 2014 Authors: Atif Mian and Amir Sufi

(Website) Page Title: Graphs of key economic trends

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Website title: econbrowser

URL: http://econbrowser.com/archives/2014/03/graphs-of-key-
economic-trends

Date: March 2014