Which of the following is occurring when an economy is experiencing sustained growth in real GDP?
A)actual GDP is greater than potential GDP
B)actual GDP is less than potential GDP
C)potential GDP is likely to be increasing
D)factor prices are likely to be decreasing
E)wage rates will decrease slowly as factor-utilization rates decrease

Question

Quizplus · Accepted Answer

Sustained growth in real GDP means that the economy is producing more goods and services over time, indicating an increase in potential GDP.

Which of the Following Is Occurring When an Economy Is