A Below Full-Employment Equilibrium

question 150

Multiple Choice

A below full-employment equilibrium

• A) occurs when the price level is rising very quickly.
• B) occurs when real GDP is less than potential GDP.
• C) occurs when real GDP exceeds potential GDP.
• D) is not possible in the U.S. economy.

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Definitions:

Compensable Factors

Criteria used by organizations to evaluate the relative worth of different jobs, which then guides the determination of appropriate compensation levels.

Factor Degrees

The variation or levels within compensable factors used to evaluate and differentiate between job roles or responsibilities.

Integrity

The quality of being honest and having strong moral principles; moral uprightness.

Job Evaluation System

A methodical process used by organizations to determine the relative value or complexity of job roles for the purpose of establishing fair pay rates.