If the Economy Is in Long-Run Equilibrium

question 77

Multiple Choice

If the economy is in long-run equilibrium:

• A) inflation should be accelerating.
• B) current output should be greater than potential output.
• C) current inflation should equal expected inflation.
• D) current inflation should be less than expected inflation.

---

Definitions:

Selective Perception

The psychological process by which individuals selectively choose to focus attention on certain stimuli while ignoring others.

Social Networks

Online platforms that allow users to connect, share, and communicate with others, fostering digital communities and interactions.

Right Impression

The act of presenting oneself in a manner that is perceived positively or as intended by others.

Fraudulent Misrepresentation

(1) The tort that occurs when a misrepresentation is made with intent to facilitate personal gain and with the knowledge that it is false. (2) In contracts, a false representation of a material fact that is consciously false and is intended to mislead the other party. Also called intentional misrepresentation.