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    Economics for Today Study Set 6
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    Exam 19: The Keynesian Model in Action
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    An Economy That Is Operating Below Its Full-Employment Capacity Is
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An Economy That Is Operating Below Its Full-Employment Capacity Is

Question 63

Question 63

Multiple Choice

An economy that is operating below its full-employment capacity is experiencing a(n) :


A) tax-induced recession.
B) recessionary gap.
C) inflationary gap.
D) market correction.

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