Explain the Relationship Between Potential GDP and Real GDP in the United

question 137

Essay

Explain the relationship between potential GDP and real GDP in the United States since the early 1960s. You do not need to tell what happened during any specific year; just describe the general relationship.

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Definitions:

Prototype

An original model or form of something that serves as a typical example or basis for making subsequent versions or for categorization.

Concept

An abstract idea or a general notion that represents something in the mind, forming the basis of thoughts or ideas.

Concept

A general idea resulting from the grouping of objects, events, qualities, or phenomena that share common attributes, serving as building blocks of knowledge.

Prototype

A typical or preliminary model of something, especially a concept, process, or product, that serves as a basis for further development.