The table below provides macroeconomic data for a hypothetical economy.Dollar amounts are all in constant-dollar terms.
TABLE 19-1
-Refer to Table 19-1.In which years was this economy experiencing a recessionary gap?
A)2012,2013
B)2009,2010,2014
C)2011,2015
D)2009,2010,2011
E)2013,2014,2015

Question

The table below provides macroeconomic data for a hypothetical economy.Dollar amounts are all in constant-dollar terms.
  TABLE 19-1
-Refer to Table 19-1.In which years was this economy experiencing a recessionary gap?
A)2012,2013 
B)2009,2010,2014 
C)2011,2015 
D)2009,2010,2011 
E)2013,2014,2015

Quizplus · Accepted Answer

The economy is experiencing a recessionary gap whenever the actual output (real GDP) is less than potential output (potential GDP). Looking at the table, we can see that in 2009, 2010, and 2014, actual output is less than potential output, indicating recessionary gaps in those years. Therefore, the correct answer is option B.

The Table Below Provides Macroeconomic Data for a Hypothetical Economy