Solved

Suppose the Economy Is Currently Operating at Potential Output; a Recessionary

Question 80

Multiple Choice

Suppose the economy is currently operating at potential output; a recessionary gap may be caused by each of the following EXCEPT:


A) a negative demand shock.
B) a negative inflation shock.
C) a decrease in government spending.
D) a decrease in the inflation rate.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions