Economic Dashboard

Grappone

outputPrice = Consumer Price Index for All Urban Consumers: New Vehicles in U.S. City Average

inputPrice = Producer Price Index by Industry: New Car Dealers: New Vehicle Sales

Bank of New Hampshire

outputPrice = Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity

inputPrice = Market Yield on U.S. Treasury Securities at 3-Month Constant Maturity

Comptus

outputPrice = Producer Price Index by Commodity: Machinery and Equipment: Miscellaneous Instruments

inputPrice = Producer Price Index by Commodity: Metals and Metal Products: Nonferrous Metals

What is happening to your client business’s profit margin?

Make your argument based on your analysis of the given charts.

Grappone’s input prices rapidly increased during the spring of 2020. Grappone’s sales of new vehicles collapsed because they had to pay more for new cars, making it harder to get cars. This then leads to a lack of product and unaffordable price for that product. Unlike the input prices, the output prices remained consistent until about May 2021 where you can see the output prices start to increase. From 2020-now the input costs have increased by over 180%. As of 2022, we can see an increase in output and decrease in input which will help increase profit margins.