The IA Line Will Move Down If

question 32

Multiple Choice

The IA line will move down if

• A)potential GDP decreases.
• B)real GDP falls below potential GDP.
• C)real GDP increases relative to potential GDP.
• D)real GDP equals potential GDP.
• E)the rate of inflation increases.

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Definitions:

Modes of Thinking

The various ways in which individuals process information and solve problems, influenced by cognitive styles and patterns.

Inputs

Resources, information, or efforts that are used to produce goods or services in a process or system.

Brain

The organ in living organisms responsible for processing information, controlling behavior, and enabling thought and memory.

Emotional Intelligence

The skill to recognize, regulate, and articulate personal emotions while managing social relationships with care and understanding.