In Any Year, Real GDP

question 83

Multiple Choice

In any year, real GDP

• A) must always be less than potential GDP.
• B) might be greater or less than potential GDP.
• C) will always be greater than potential GDP because of the tendency of nations to incur inflation.
• D) always equals potential GDP.

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Definitions:

Margin Of Error

An expression of the amount of random sampling error in a survey's results, which indicates the range within which the true value lies with a certain degree of confidence.

Sample Standard Deviations

A measure of variability or dispersion within a sample dataset, estimating how much individual measurements in the sample differ from the sample mean.

Equal Sample Sizes

A condition in experimental design or analysis where all groups or conditions have the same number of observations.

Confidence Interval

A range of values, derived from a data set, that is likely to contain the value of an unknown population parameter with a certain degree of confidence.