The Recessionary Gap Is the Increase in Aggregate Spending Needed

question 229

True/False

The recessionary gap is the increase in aggregate spending needed to bring a depressed economy back to full employment.

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Definitions:

Cash Discount

A reduction in an invoice amount available to the buyer for paying all or part of the amount due within a stated period of time.

Invoice Date

The date stated on an invoice; the beginning of the discount period.

Partial Payment

A payment that is made towards a debt or obligation that is less than the full amount owed at that time.

Discount Date

The specified date before which a payment can be made on an invoice to receive a discount for early payment.