Which of the Following Statements Is True

question 174

Multiple Choice

Which of the following statements is true?

• A) When all of the economyʹs resources are fully employed, the value of production is called real GDP.
• B) Potential GDP fluctuates around real GDP.
• C) Potential GDP is the same as real GDP.
• D) Real GDP fluctuates around potential GDP.

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Definitions:

Junk Bonds

A special type of high interest rate bond that carries higher inherent risks.