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-Refer to Figure 5

Question 49

Multiple Choice

-Refer to Figure 5.5. At the equilibrium level of price and real GDP this economy: A) faces a recessionary gap. B) has output is too high relative to its potential. C) faces an inflationary gap. D) is likely to experience significant inflation.
-Refer to Figure 5.5. At the equilibrium level of price and real GDP this economy:


A) faces a recessionary gap.
B) has output is too high relative to its potential.
C) faces an inflationary gap.
D) is likely to experience significant inflation.

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