When the macroeconomic equilibrium is such that real GDP exceeds potential real GDP,the economy is suffering from ________,and the government policy to eliminate this gap will ________ real GDP and ________ the price level.
A) an inflationary gap;increase;increase
B) a recessionary gap;decrease;decrease
C) an inflationary gap;increase;decrease
D) a recessionary gap;increase;decrease
E) an inflationary gap;decrease;decrease
Correct Answer:
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Q50: The aggregate supply curve shifts
A)rightward if potential
Q246: In the late 1920s,the U.S.economy experienced a
Q247: The _,the _ is the quantity of
Q248: Q249: Q250: Q252: _ increases potential GDP. Q253: When the macroeconomic equilibrium is such that Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
A)A decrease in the
