If Potential Output Is Less Than Actual Output, Eventually the Short-Run

question 22

Multiple Choice

If potential output is less than actual output, eventually the short-run aggregate supply curve will shift:

• A)up and eliminate the recessionary gap.
• B)down and eliminate the recessionary gap.
• C)up and eliminate the inflationary gap.
• D)down and eliminate the inflationary gap.

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Definitions:

Reinforcement

The process of providing stimuli following a behavior, which has the effect of increasing the frequency of the behavior.

Extinction

The decrease and eventual disappearance of a response in the absence of reinforcement.

Mean Length Of Utterance

A measure used in the study of child language acquisition, indicating the average number of morphemes per utterance spoken by a child.

Morphemes

The smallest units of meaning in a language, which can be words or parts of words (like prefixes).