Multiple Choice
Actual output falls below potential output
A) during a recession
B) when aggregate demand exceeds aggregate supply
C) when the natural rate of unemployment exceeds the actual rate of unemployment
D) when the natural rate of unemployment is zero
E) when short run aggregate supply exceeds long run aggregate supply
Correct Answer:

Verified
Correct Answer:
Verified
Q94: Exhibit 10-2 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4914/.jpg" alt="Exhibit 10-2
Q95: Exhibit 10-9 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4914/.jpg" alt="Exhibit 10-9
Q97: Exhibit 10-6 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4914/.jpg" alt="Exhibit 10-6
Q98: The main effect of a decrease in
Q100: Potential output depends on all of the
Q101: The potential level of output can be
Q102: The nominal wage represents<br>A)the quantity of goods
Q103: An expansionary gap is equal to<br>A)real GDP
Q104: When the expected price level falls below
Q121: The natural rate of unemployment includes frictional,cyclical,and