Multiple Choice
If GDP is too high relative to potential GDP,which of the following happens?
A) Inflation rises.
B) A recession begins.
C) Deflation occurs.
D) Unemployment rises.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q41: Which of the following is an example
Q42: The unemployment rate includes<br>A) people not working
Q43: The natural rate of unemployment is<br>A) 5%.<br>B)
Q44: When unemployment is above the natural rate,<br>A)
Q45: When real GDP is lower than potential
Q47: The NAIRU is short for the nonaccelerating
Q48: Who would NOT be counted among the
Q49: When unemployment is below the natural rate,<br>A)
Q50: The pattern of recession,recovery,and expansion is called
Q51: How are potential GDP and real GDP