Potential GDP
A) measures the actual production from year to year.
B) is cyclical.
C) measures the output that could be produced if all resources were fully employed.
D) Both answers A and C are correct
Correct Answer:
Verified
Q184: Potential GDP is
A) the level of GDP
Q185: gross domestic product is the value of
Q186: Suppose an economy has some inflation. Then,
Q187: Which of the following is NOT a
Q188: Potential GDP is the
A) value of production
Q190: In years with inflation, nominal GDP increases
Q191: The base- year method of calculating real
Q192: The relationship between real GDP and potential
Q193: When all of the economy's resources are
Q194: Economists distinguish real GDP from nominal GDP
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