A Recessionary Gap

question 62

Multiple Choice

A recessionary gap

• A)Would cause a depletion of inventories.
• B)Would occur if total output were less than aggregate demand.
• C)Is the amount by which the rate of actual spending falls short of full-employment GDP.
• D)Is the amount by which total spending exceeds GDP.

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Definitions:

Organization Meeting

An initial meeting held to complete the formation of an entity, where bylaws are adopted, officers elected, and other organizational matters decided.

Corporate Powers

The legal rights and authorities that a corporation possesses, including entering contracts, owning property, and conducting business activities.

Transfer Restriction

Legal limitations or conditions placed on the transferability of an asset or security.

Share Certificate

A physical document certifying ownership of a particular number of shares in a company.