If Real GDP Stays Below Potential GDP

question 39

Multiple Choice

If real GDP stays below potential GDP,

• A)the AD curve will begin to shift to the left.
• B)the IA line will shift down.
• C)potential GDP will decline.
• D)the IA line will shift up.
• E)the AD curve will begin to shift to the right.

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Definitions:

Neutral Emotional State

A condition where an individual feels neither positive nor negative emotions, often described as feeling emotionally flat or indifferent.

Flow-Inducing Activities

Tasks or actions that fully immerse and engage an individual, leading to a sense of euphoria and focus, often resulting in high levels of personal satisfaction and productivity.

Chores

Routine tasks or jobs that need to be done regularly, often referring to household activities.

Sports

Physical activities involving skill and physical exertion, often competitive in nature and governed by rules.