Actual output cannot grow faster than____ over the____.

Question

Quizplus · Accepted Answer

Actual output cannot grow faster than potential output over the longer term because potential output represents the highest level of goods and services an economy can sustainably produce over a period, taking into account factors like technology, labor, and capital. Over the short term, actual output can exceed potential output due to cyclical factors, but over the longer term, growth is constrained by the economy's potential output.

Actual Output Cannot Grow Faster Than____ Over The____

Actual Output Cannot Grow Faster Than Over The