Multiple Choice
Which of the following is true when an economy is in long-run equilibrium?
A) Actual output can exceed potential output.
B) Potential output can exceed actual output.
C) Actual output must equal potential output.
D) Real GDP must equal nominal GDP.
E) Expected price level can exceed actual price level.
Correct Answer:
Verified
Correct Answer:
Verified
Q11: The nominal wage represents:<br>A)the wage measured in
Q12: Potential output depends on all of the
Q13: The figure shows the determination of the
Q14: The short run is a period of
Q15: Which of the following explains the shape
Q17: The figure below shows equilibrium in an
Q18: The potential output of an economy is:<br>A)the
Q19: The actual price level is assumed to
Q20: When the actual price level in an
Q21: The figure below shows equilibrium in an