In the Short-Run Macroeconomic Equilibrium

question 72

Multiple Choice

In the short-run macroeconomic equilibrium

• A) real GDP equals potential GDP and aggregate demand determines the price level.
• B) the price level is fixed and short-run aggregate supply determines real GDP.
• C) real GDP and the price level are determined by short-run aggregate supply and aggregate demand.
• D) real GDP is always less than potential GDP.

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The capacity to recover quickly from difficulties; toughness, particularly in the face of adversity or trauma.

Stable Trait

A characteristic of an individual that is relatively enduring and consistent across different situations and over time.

Adverse Situations

Unfavorable, difficult, or challenging circumstances that an individual may face, which can impact their well-being and responses.

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A feeling of fondness or love towards someone or something, often displayed through physical closeness or emotional gestures.