Potential GDP is
A) the same as nominal GDP.
B) the maximum amount of GDP that can be produced while avoiding shortages of labour, capital, land, and entrepreneurship that would bring rising inflation.
C) the same as real GDP.
D) equal to nominal GDP multiplied by the price level.
E) equal to real GDP multiplied by the price level.
Correct Answer:
Verified
Q108: The underground economy is any economic activity
Q109: Q110: Q111: In comparing the United States and China Q112: Which of the following statements by politicians Q114: Why is the Human Development Index thought Q115: Real GDP Q116: The four parts of the business cycle Q117: Business cycles are Q118: A common definition of recession is a
A)fluctuates around potential GDP.
B)fluctuates from year
A)predictable, with an expansion following
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