The Table Below Shows Data for India's Economy

question 300

Multiple Choice

The table below shows data for India's economy. Real GDP is measured in millions of rupees. Suppose that full employment occurs when real GDP is 27,000 million rupees. The economy is experiencing ________ gap and firms will ________.

• A) an inflationary gap; increase production
• B) an inflationary gap; increase money wages paid to workers
• C) a recessionary gap; increase production
• D) a recessionary gap; decrease money wages paid to workers

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Definitions:

Obsessive-Compulsive Disorder

A mental health disorder where individuals experience uncontrollable, recurring thoughts (obsessions) and behaviors (compulsions) they feel the urge to repeat repeatedly.

Generalised Anxiety Disorder

A mental health condition characterized by persistent and excessive worry about multiple aspects of life, beyond what might be considered reasonable.

Panic Disorder

A mental health condition characterized by sudden and repeated episodes of intense fear accompanied by physical symptoms like rapid heartbeat or dizziness.

Bipolar Disorder

A mental health condition characterized by extreme mood swings, including episodes of depression and mania.