Use the following to answer questions:
Figure: Output Gap 
-(Figure: Output Gap) Refer to Figure: Output Gap. If the economy is producing at Y2, then it has a(n) _____ gap, as _____ real GDP exceeds _____ real GDP, and the Federal Reserve should use _____ monetary policy.
Definitions:
Thematic Apperception Test
is a psychological assessment tool in which individuals are asked to create stories based on ambiguous images, used to uncover underlying thoughts, feelings, and themes about themselves and the world.
Projective
Relating to a type of psychological test in which individuals reveal their unconscious feelings and thoughts through the interpretation of ambiguous stimuli.
Self-report
A method of gathering data where individuals provide information about themselves, typically through questionnaires or interviews.
Observational
Pertaining to the method of gathering data by watching behavior or events as they occur in their natural setting without interference.
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