The Macroeconomic Variable Used to Assess the Equivalence of PAE

question 92

Multiple Choice

The macroeconomic variable used to assess the equivalence of PAE and actual output (Y) is:

• A) unemployment.
• B) interest rates.
• C) inventories.
• D) capital expenditure.

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Definitions:

Free Recall

A test of memory in which a person must retrieve information learned earlier without the aid of or with very few external cues.

Savings

Money that has been set aside for future use, often stored in a bank or financial institution to accrue interest.

Procedural Memory

A type of long-term memory involved in learning and performing tasks that involve motor skills, such as riding a bike or typing, without conscious awareness of previous experiences.

Declarative

Pertaining to memories that can be consciously recalled, such as facts and events.