Abstract:
GDP is one of the major measures of economic growth of a country (Kira, 2013). The Kenyan
GDP 2000 to 2011 seems to indicate a general trend of growth, a further movement with the
business cycles (World Bank, 2011). Moreover, the short ups and downs may seem a random
stochastic movement.
The question was: how could the seemingly random movement, in the GDP data, be explained so
as to enhance better decision making in future?
This paper sought to dissect the GDP data into trend, business cycles and to examine the
relevance of the Fibonacci sequence and its derivative ratios, in particular, to the GDP data for
2000 to 2011 period. It sought to find out whether Fibonacci analysis; if it were used in the GDP
data would give the decision makers a better per view of the trend in the economy
