Exhibit 2 Macro AD-AS Model in Exhibit 2, the Long-Run

question 20

Multiple Choice

Exhibit 2 Macro AD-AS Model In Exhibit 2, the long-run aggregate supply curve represents:

• A)potential real GDP output for this economy.
• B)that the economy is experiencing zero inflation.
• C)that the economy is experiencing a recessionary gap.
• D)the level of real GDP where the unemployment rate is zero.

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Definitions:

Genetics

The branch of biology that deals with heredity and variation in organisms, explaining how traits are passed from parents to offspring.

Social

Refers to activities, practices, or situations involving interaction among individuals within a society.

Brain Capacity

Refers to the volume or size of the brain, often related to cognitive ability, processing power, and information storage capabilities.

Solitary Life

A lifestyle choice or condition where an individual prefers or happens to spend most of their time alone, away from social interactions.